Downward Communication Is the Flow of Messages ________

question 3

Multiple Choice

Downward communication is the flow of messages ________.

• A)from a lower level to a higher level
• B)from one co-worker to another
• C)from one level to a lower level
• D)in a circular direction

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Definitions:

Classified Balance Sheet

A balance sheet that organizes a company’s assets, liabilities, and equity into subcategories for clearer understanding.

Adjusted Trial Balance

A listing of all company accounts and their balances after adjustments, serving as the basis for financial statement preparation.

Return on Assets Ratio

A measure of how effectively a company uses its assets to generate profit, calculated as net income divided by total assets.

DuPont Approach

A method of performance measurement that breaks down return on equity (ROE) into three components: operating efficiency, asset use efficiency, and financial leverage, to help analyze a company's financial condition.