Functional Strategies Are Those

question 32

Multiple Choice

Functional strategies are those

• A) Implemented by each functional area of the organization to support the business strategy.
• B) Utilized by top management in developing the corporate structure and resource allocation of the organization.
• C) Voted on by the board of directors.
• D) That function as corporate benchmarks for evaluating corporate performance.
• E) Used to evaluate competitors.

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Definitions:

Net Sales

The amount of sales revenue left after returns, allowances for damaged or missing goods, and discounts are deducted.

Total Asset Turnover

A financial ratio that measures a company's ability to generate sales from its assets by comparing sales with average total assets.

Average Total Assets

A financial metric that represents the average value of all a company's assets over a specific period, often used to assess operational efficiency.

Associated Costs

Expenses directly linked to a specific project, department, or product, which can include materials, labor, and overhead.