A Company's Organizational Structure Influences Complexity

question 6

Multiple Choice

A company's organizational structure influences complexity. The real issue is _________ -is it centralized or decentralized?

• A) decision-making authority
• B) purchasing
• C) management control
• D) physical structure

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Definitions:

Financial Statements

Formal records that outline the financial activities and position of a business, person, or entity.

Full Disclosure Principle

An accounting principle that requires companies to provide all necessary information in their financial statements that could affect the understanding of those statements.

Competitive Advantage

The unique advantage a company has over its competitors, allowing it to generate greater sales or margins and/or retain more customers.

Technological Innovations

New or improved technological products or processes that significantly advance the state of the art, within any field of technology.