Which of the Following Is NOT True About the Environmental

question 9

Multiple Choice

Which of the following is NOT true about the environmental complexity of an organization?

• A) Environmental complexity increases as the number of competitors increases.
• B) It is measured in terms of the knowledge an organization needs about its environment.
• C) Complexity decreases as the number of regulatory agencies increases.
• D) It depends on the knowledge an organization has about the components of its environment.

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Definitions:

Freight Charges

Costs associated with transporting goods from one place to another, often paid by the buyer or seller depending on terms of sale.

Perpetual Inventory System

An inventory tracking system that updates item balances after each purchase or sale, providing a continuous record of inventory.

Merchandise Inventory

Products that a business has in stock and intends to sell to its customers as part of its commercial operations.

Inventory Shrinkage

The loss of products between point of manufacture or purchase from supplier and point of sale, often due to theft, damage, or errors.