What Is a Weakness of a Simple Structure

question 14

Multiple Choice

What is a weakness of a simple structure?

• A) Reliance on one person is risky.
• B) Pursuit of functional goals can cause managers to lose sight of what's best for the overall organization.
• C) Functional specialists become insulated and have little understanding of what other units are doing.
• D) Duplication of activities and resources increases costs and reduces efficiency.

Identify the characteristics and purposes of different types of accounts (e.g., Liability, Asset, Expense, Revenue).

Distinguish between different methods of depreciation and their impact on financial statements.

Recognize the role and structure of worksheets in the accounting cycle.

Understand the concept of contra-asset accounts and how they relate to financial statements.

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Definitions:

Construct Validity

The degree to which a test or instrument measures the theoretical construct or psychological concept it intends to measure.

Population

The total number of people under consideration.

Sample

A subset of individuals from a larger population, selected for participation in a research study, meant to represent the larger group.

Cohort

A group of individuals sharing a specific characteristic, typically defined by age, who are studied over a period of time.