The Formal Structure of an Organization Is Primarily Put in Place

question 60

Multiple Choice

The formal structure of an organization is primarily put in place to

• A)control people, decisions, and actions.
• B)develop a process for investing returns.
• C)increase rates of promotion.
• D)allow for intrapreneurship.
• E)encourage entrepreneurship.

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Definitions:

Adjusting Entry

A journal entry made at the end of an accounting period to allocate income and expenditures to the period in which they actually occurred.

Uncollectible Accounts

Uncollectible accounts are debts owed to a company that are considered uncollectable and are written off as a bad debt expense.

Allowance for Doubtful Accounts

A contra account that represents the estimated amount of accounts receivable which may not be collectible.

Adjusting Entry

An accounting record made to adjust revenues and expenses to match the accounting period they were incurred, ensuring compliance with the accrual basis of accounting.