A Global Matrix Structure Alleviates the Disadvantages Associated with Both

question 37

True/False

A global matrix structure alleviates the disadvantages associated with both geographic area and global product division structures.

---

Definitions:

Direct Method

A technique used in accounting to prepare the cash flow statement, where actual cash flows from operating activities are reported instead of adjustments to net income.

Operating Activities

Activities that constitute the primary or main activities of an entity, such as selling goods and services, which are reflected in the statement of cash flows.

Current Assets

Assets that are expected to be converted into cash, sold, or consumed within the year or within the operating cycle of the business, whichever is longer.

Current Liabilities

Short-term financial obligations that are due within one year or within the normal operating cycle.