One of the Disadvantages of an Organization Which Has a Matrix

question 62

Multiple Choice

One of the disadvantages of an organization which has a matrix structure is that :

• A)each individual reports to one boss, causing excess flow of information to one individual.
• B)flow of information is difficult when operations are so highly diversified.
• C)each individual has two bosses whose interests may not be aligned.
• D)there are limits to the information a firm's headquarters can use effectively in making decisions.

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Definitions:

A Premium

An amount paid exceeding the nominal or face value of a security or insurance policy.

Effective Yield

Effective yield is an investment's annual rate of interest when compounding occurs more often than once a year.

Present Value Factors

A factor used to calculate the present value of a future amount, considering the time value of money and interest rates.

Bond Carrying Value

The net book value of a bond on the issuer's balance sheet, calculated as the bond's face value minus any unamortized discounts or plus any unamortized premiums.