Which of the Following Is an Advantage of the Multidivisional

question 66

Multiple Choice

Which of the following is an advantage of the multidivisional structure?

• A)Bureaucratic costs are low.
• B)An internal labor market is created.
• C)Development time is fast due to decentralization.
• D)Functional specialists from each division can easily share information with each other.

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Definitions:

Rate Of Return

A financial metric used to measure the amount of return on an investment relative to the investment's cost.

Total Assets

The sum of all current and non-current assets owned by a company, showing the total value of what a company owns or controls.

Depreciation

The systematic allocation of the cost of a tangible asset over its useful life, reflecting wear and tear or obsolescence.

Group Depreciation Method

An accounting method that applies a single depreciation rate to a group or pool of assets with similar characteristics and useful lives, instead of depreciating each asset individually.