Functional Structures Are Usually Found in Organizations Where There

question 22

Multiple Choice

Functional structures are usually found in organizations where there

• A) is high volume production.
• B) are unrelated product lines or service offerings.
• C) is very little vertical integration.
• D) there exists a strong need to decentralize decision making.

Recognize the concept and operational framework of low-profit limited liability companies (L3Cs) and limited liability partnerships (LLPs).

Comprehend the requirements for the formation, amendment, and dissolution of a limited partnership and the documentation involved.

Identify the legal implications of a partnership's actions on the liability status of its partners.

Analyze the impact of state legislation on the formation and operation of partnerships and limited liability companies (LLCs).

---

Definitions:

Average Accounting Return

A financial ratio indicating the average net income an asset is expected to generate compared to its average capital cost.

Redeeming Feature

A characteristic or option in a financial product that offers the possibility of benefitting the holder, such as the ability to convert bonds into stock.

Required Return

The minimum expected yield by investors for investing in a particular asset, considering its risk.

Independent Projects

Projects that are evaluated for investment purposes, where the acceptance of one project does not affect the decision to undertake another.