When Managers Represent Their Company in the Outside World and Perform

question 27

Multiple Choice

When managers represent their company in the outside world and perform symbolic duties,they are acting in their:

• A)decisional role.
• B)managerial role.
• C)informational role.
• D)interpersonal role.
• E)leadership role.

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Definitions:

Closing Entry

Journal entries made at the end of an accounting period to transfer the balances of temporary accounts to permanent accounts, ultimately resetting the balances of temporary accounts to zero.

Income Summary

An account used in the closing process that summarizes the results of operations by collecting all revenue and expense account balances before determining the net income or loss.

Retained Earnings

The cumulative amount of profits that have been reinvested in the business rather than distributed to shareholders as dividends.

Dividends

Dividends disbursed to members holding shares in a corporation, generally originating from the profits of the business.