Michael Is Analyzing the Structure of His New Employer

question 74

Multiple Choice

Michael is analyzing the structure of his new employer. It is highly flexible and can readily adapt to changing circumstances. It also is heavily dependent upon committee and team authority. The firm is probably using the ________ structure.

• A) matrix
• B) functional
• C) conglomerate
• D) divisional
• E) international

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Definitions:

Net Income

The total profit of a company after all expenses, taxes, and costs have been subtracted from total revenue; often referred to as the bottom line.

Average Total Assets

A financial metric calculated by averaging a company's total assets over a certain period, used to measure a company's asset utilization efficiency.

Held-to-maturity Securities

Debt securities that a company intends and is able to hold until they mature.

Equity Securities

Equity Securities are financial assets representing ownership interest in a company, such as stocks, which provide voting rights and potential dividends.