The Unity of Command Principle

question 66

Multiple Choice

The unity of command principle:

• A) Prevents line employees from coming in contact with staff personnel.
• B) Reduces organizational morale.
• C) Eliminates conflicts between line and staff.
• D) Gives the employee a single manager to turn to when a problem arises.

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Definitions:

Outstanding Checks

Checks that have been written and recorded in a company's books, but not yet cleared or deducted from the bank account balance.

Deposits In Transit

Funds that have been received and recorded by a business but not yet credited by its bank, affecting the reconciliation of bank statements.

Cash Receipts

Money received by a business during a given period, from activities such as sales, services, loans, or equity infusions.

Cash Sales

Transactions in which customers pay for goods or services at the time of purchase with cash.