Which of the Following Statements About Formal Groups Is True

question 76

Multiple Choice

Which of the following statements about formal groups is true?

• A) The placements of organization members in such areas as marketing departments and personnel departments are examples of establishing formal groups.
• B) Formal groups are a collection of individuals whose common work experiences result in the development of a system of interpersonal relations that extend beyond those established by management.
• C) The coordination of and communication among the formal groups is the responsibility of employees commonly called "cotter pins."
• D) Formal groups are divided into two general types: interest groups and command groups.
• E) The formal relationships among group members is summarized using a sociogram.

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Definitions:

Interest Payments

Payments made to lenders as compensation for borrowing money, typically calculated as a percentage of the principal amount.

Investing Activities

Transactions involving the purchase and sale of long-term assets and other investments not considered as cash equivalents.

Treasury Shares

Shares that were once outstanding and have been bought back by the company, which may be held in the company's treasury.

Short-term Investments

Investments that are expected to be converted into cash within one year or during the next operating cycle, whichever is longer.