Which of the Following Is a Characteristic of an Organization

question 1

Multiple Choice

Which of the following is a characteristic of an organization with a functional structure?

• A) It reacts quickly to environmental changes.
• B) It diminishes economies of scale compared to the divisional structure.
• C) It often results in hierarchy overload.
• D) It cannot work in small organizations.

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Definitions:

Timing

The selection of the most appropriate point or period to initiate or execute an action to achieve the desired outcome.

Open-book Management

A management strategy where employees are given access to financial information about the company to involve them more in its operations.

Macro-aging Schedule

A method used in financial analysis that categorizes accounts receivable or other financial assets based on the period of time they have been outstanding.

Current Ratio

A financial metric used to evaluate a company's ability to pay off its short-term liabilities with its short-term assets.