The Use of Too Many Teams in a Company May

question 78

Multiple Choice

The use of too many teams in a company may lead to:

• A) division of labour.
• B) decentralization.
• C) authority and responsibility in top management's hands.
• D) formalization.
• E) narrow span of management.

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Definitions:

Stock

A type of security that signifies ownership in a corporation and represents a claim on part of the company's assets and earnings.

Black-Litterman Model

A portfolio allocation model that combines expected returns based on equilibrium assumptions with the views of an investor.

Portfolio Manager

A professional responsible for making investment decisions and overseeing a portfolio of assets to achieve the investment objectives of their clients or institution.

Tracking Error

A measure of the deviation from the performance of a benchmark by an investment portfolio.