According to Michels, Whenever Organization Exists, an Elite with More

question 31

Multiple Choice

According to Michels, whenever organization exists, an elite with more power over others will develop.He called this the

• A)"iron law of oligarchy".
• B)iron cage
• C)"rule of the bourgoise"
• D)division of labor

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Definitions:

Liquidation Value

The estimated amount that would be realized from the sale of a company's assets, after paying off its liabilities, if the company were to be liquidated.

Accrual

The accounting principle that income and expenses are recognized when they are earned or incurred, regardless of when the cash is actually received or paid.

Net Realisable Value

is the estimated selling price of goods in the ordinary course of business minus the estimated costs of completion and the necessary selling expenses, used in inventory valuation and impairment tests.

Depreciation

A method of allocating the cost of a tangible or physical asset over its useful life, recognizing the asset's wear and tear over time.