What Is the Purpose of Organization Charts

question 255

Multiple Choice

What is the purpose of organization charts?

• A)They show the firm's structure and the relationship of employees within the organization.
• B)They are a valuable tool for companies experiencing a large increase in research and development expenditures on new products.
• C)They show the grouping of jobs into logical units.
• D)They are used to plan marketing campaigns.
• E)They determine which jobs need to be accomplished and who will perform them.

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Definitions:

Operating Cash Flows

Cash generated from the primary activities of a business, including revenue from sales of goods and services.

Presentation Method

The way financial information is displayed and organized in financial statements or reports.

Financing Activities

Activities that result in changes in the size and composition of the contributed equity and borrowings of the entity.

Statement of Cash Flows

A financial statement that shows how changes in balance sheet accounts and income affect cash and cash equivalents, breaking the analysis down to operating, investing, and financing activities.