Troy Is a Manager at a Manufacturing Company That Creates

question 226

True/False

Troy is a manager at a manufacturing company that creates commercial lighting fixtures. He thinks it is very important and less confusing if each worker has only one boss. Troy's view is consistent with Fayol's unity of command principle.

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Definitions:

Net Profit Margin Percentage

A financial metric that shows the percentage of profit a company makes for every dollar of sales, calculated by dividing net profit by total revenue.

Average Sale Period

A financial metric measuring the average time it takes for a company's inventory to turn into sales, often seen as part of inventory turnover analysis.

Price-earnings Ratio

A valuation metric that compares a company's current share price to its per-share earnings.

Dividend Payout Ratio

A financial metric that measures the percentage of a company's earnings paid out to shareholders as dividends, indicating how much money a company returns to shareholders versus how much it keeps to reinvest.