If an Organization Is Top-Heavy with Managers

question 13

Multiple Choice

If an organization is top-heavy with managers,

• A)then it uses a matrix form of organization.
• B)then it has a high ratio of supervisors to production workers.
• C)then it has life-time employment.
• D)then it has an internal labor market.
• E)then it has direct worker participation.

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Definitions:

Preemptive Rights

A shareholder's right to buy new shares issued by a company in proportion to their existing shareholding, before the shares are offered to the public.

Stock Purchase

The act of buying shares in a company, giving the purchaser a portion of ownership in that company.

Common Stock Holders

Individuals or entities that own a share of common stock in a corporation, granting them voting rights and a portion of the company’s profits.

Preferred Stockholders

Preferred stockholders are investors who own preferred shares in a company, which often entitle them to fixed dividends and priority over common stockholders in asset liquidation.