Gary Is a Manufacturing Manager at Forman Enterprises

question 16

Multiple Choice

Gary is a manufacturing manager at Forman Enterprises.Gary works at the MNE's headquarters in the United States.Before Gary can implement any major changes or decisions, he must communicate and coordinate his plans with Raj, a sales manager at Forman's facility in India.Which structure is most likely used by Forman Enterprises?

• A)global
• B)matrix
• C)product division
• D)geographic division

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Definitions:

Revenue Recognition

The accounting principle that dictates the specific conditions under which income becomes realized as revenue.

Adjusting Entries

Journal entries made at the end of an accounting period to allocate income and expenditures to the period in which they actually occurred.

Prepayments

Payments made in advance for goods or services, which are recorded as assets on the balance sheet until the corresponding goods or services are received.

Unearned Revenue

Money received by an entity for a service or product yet to be delivered or performed.