Matrix Structures Tend to

question 134

Multiple Choice

Matrix structures tend to

• A)focus technical specialists on their specialist knowledge rather than the goals of serving clients and creating marketable products.
• B)require less coordination than functional or pure divisional structures.
• C)prevent employees in a particular specialization from sharing knowledge with each other.
• D)Do all of these things.
• E)Do none of these things.

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Definitions:

Discount Rate

The interest rate used to discount future cash flows to their present value, often used in the context of evaluating investment opportunities.

WACC

Weighted Average Cost of Capital, a calculation of a firm's cost of capital wherein each category of capital is proportionately weighted.

Risk Similarity

The degree to which different investments share similar risk characteristics.

Current Operations

The day-to-day activities involved in running a business, such as sales, maintenance, and administration, which directly relate to its main activities.