The First Organizational Design Task Is to ________ and Create

question 96

Multiple Choice

The first organizational design task is to ________ and create the structure best suited to the contingencies an organization faces.

• A) group functions and divisions
• B) allocate managerial authority
• C) design a managerial hierarchy
• D) develop a product line

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Definitions:

Fixed Expenses

Fixed expenses are consistent costs that do not vary with the volume of business activity, such as rent or salaries.

Net Income

The total earnings of a company after all expenses and taxes have been deducted from revenues, indicating the company's profit.

Selling Price

The amount of money charged to the customer for a product or service.

Variable Manufacturing Costs

These are costs that vary directly with the level of production output, including expenses like raw materials and variable labor costs.