Which of the Following Statements About "Flat" Organizations Is Least

question 24

Multiple Choice

Which of the following statements about "flat" organizations is least true?

• A)Flat organizations emphasize long-term compensation rather than current pay from salary or bonus
• B)The "prize" associated with promotion appears to be greater at flat organizations compared to tall ones
• C)In a flat organization,there are fewer direct reports to a group head than in a taller firm
• D)Delegating more decision making as in a flat organization might be attractive when the competitive environment is hostile
• E)Flat organizations tend to have more divisions than their taller firm counterparts

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Definitions:

AASB 138

A guideline issued by the Australian Accounting Standards Board that mandates how entities should account for and report on intangible assets.

Goodwill

The value of a company's brand name, solid customer base, good customer relations, good employee relations, and any patents or proprietary technology representing excess of purchase price over the fair market value of the net identifiable assets.

Business Combination

A transaction or event in which an acquirer gains control of one or more businesses.

Identifiability Criteria

The requirements for an asset to be considered identifiable, typically involving the asset being separable or arising from contractual or legal rights.