Which of the Following Is Not True of Grapevine or Informal

question 6

Multiple Choice

Which of the following is not true of grapevine or informal communication?

• A) It rarely follows the chain of command.
• B) It is used by employees throughout the organizational hierarchy.
• C) It tends to be more inaccurate than accurate.
• D) It is usually faster than official communication.

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Definitions:

Book Value

The net value of a company's assets as reported on the balance sheet, calculated as total assets minus total liabilities and intangible assets not readily marketable.

Office Equipment

Tangible property such as desks, chairs, and computers used in the daily operations of an office.

Cash Flows

The movement of money into and out of a business or financial entity, often analyzed to assess financial health.

Current Period

Refers to the present accounting period under consideration, which could be a month, quarter, or year, depending on the context.