A Manager That Is Trying to Change an Organization from Being

question 21

True/False

A manager that is trying to change an organization from being inefficient to being efficient is trying to close an abundant gap.

---

Definitions:

Operating Activities

Activities that relate to the primary operations of a company, such as sales, supply, production, and administrative services.

Salaries

Regular payments made to employees for their services, typically expressed as an annual sum but paid in regular installments.

Statement of Cash Flows

A financial report that shows cash inflows and outflows from operating, investing, and financing activities over a specific period.

Indirect Method

Refers to a way of creating the statement of cash flows where net income is adjusted for non-cash transactions, expenses, and changes in working capital.