The External Organizational Environment Includes All Elements Existing Outside the Boundary

question 69

True/False

The external organizational environment includes all elements existing outside the boundary of the organization that have the potential to affect the organization, including those events so far removed from the organization that their impact is not perceived.

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Definitions:

Accounting System

A system used by businesses for tracking their financial transactions, consisting of various processes, records, and reports.

Special Journals

Journals that record similar types of transactions, such as all credit sales.

Sales Returns

Goods returned by customers after purchase, reducing the total sales revenue.