While All Organisations Have a Formal and an Informal Structure

question 48

True/False

While all organisations have a formal and an informal structure, the informal structure is developed to provide official links between people in the organisation.

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Definitions:

Capitalised

Expenses or costs that are added to the cost basis of a fixed asset on a company's balance sheet, rather than being expensed immediately.

Extrusion System

A process used in manufacturing to create objects of a fixed cross-sectional profile by pushing material through a die of the desired cross-section.

Financial Year

A one-year period that companies use for accounting purposes and preparation of financial statements, which may or may not align with the calendar year.

Expensed

Costs or expenditures that are immediately charged against earnings in the period in which they are incurred, rather than being capitalized or deferred.