A Company Is Likely to Use a Line Organization When

question 36

Multiple Choice

A company is likely to use a line organization when:

• A)The company sells a variety of products.
• B)The company's market is national.
• C)The president wants to stimulate a policy of decentralization.
• D)The company and the sales force is small.
• E)Management wants to use various marketing specialists.

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Definitions:

Credit To Cash

A financial transaction where received credits (receivables) are converted into cash, often through collections or sales.

Supplies Account

An account used to track the cost of consumable items used by a company during its operations, which are not part of the final product.

Adjusting Entry

An accounting record made at the end of an accounting period to allocate income and expenditure to the correct period.

Physical Count

Physical count refers to the actual counting of inventory items in a warehouse or store to verify stock levels.