The Designers at Fhontrake, a Designer Tailor Shop, Are Organized

question 44

Multiple Choice

The designers at Fhontrake, a designer tailor shop, are organized into departments such as men's wear, women's wear, children's clothing, or infants' clothing based on the clients for whom they specialize in designing clothes. Given this information, which of the following organizational structures does Fhontrake most likely follow?

• A) Customer departmentalization
• B) Product departmentalization
• C) Functional departmentalization
• D) Geographic departmentalization

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Definitions:

Long Service Leave

A paid absence after the employee has provided a long period of continuous employment.

Company Tax Rate

The percentage rate at which a company is taxed on its profits by the government.

Tax Deductible

Expenses that can be subtracted from gross income to reduce the amount of income subject to tax.

Deferred Tax Asset

A tax benefit arising from temporary differences between the book value and tax basis of assets and liabilities, which will result in deductible amounts in future periods.