Which Element of Organizational Structure Signifies Formal Authority Relationships

question 90

Multiple Choice

Which element of organizational structure signifies formal authority relationships?

• A)Chain of command
• B)Formalization
• C)Centralization
• D)Work specialization
• E)Span of control

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Definitions:

Economic Profit

The difference between total revenue and the total opportunity costs of all resources used in production, including implicit and explicit costs.

Long-run Equilibrium Conditions

A state in an economic model where all factors of production and markets adjust, resulting in no excess supply or demand.

Price-taker

A seller or buyer that has no control to dictate prices in the market, typically because of the highly competitive and uniform nature of the product.

Competitive Price-searcher Markets

Markets where firms have some control over prices due to product differentiation, but must search for the best price to attract customers.