The ________ of a Business Firm Is the System That

question 108

Multiple Choice

The ________ of a business firm is the system that details lines of authority, responsibility, and position, similar to the structure on organization charts.

• A) matrix reloaded structure
• B) formal organization
• C) informal organization
• D) normative design

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Definitions:

GAAP Estimate

An accounting estimate made following Generally Accepted Accounting Principles guidelines.

Prior-Period Adjustment

Corrections made to an organisation’s financial statements for errors found in the financials of preceding periods.

Comprehensive Income

The total change in equity for a reporting period other than from transactions with owners, including all unrealized gains and losses.

Operating Loss

A negative financial result that occurs when a company's operating expenses exceed its gross profits.