A Company Rents a Building with a Total of 50,000

question 141

Multiple Choice

A company rents a building with a total of 50,000 square feet, which are evenly divided between two floors. The company allocates the rent for space on the first floor at twice the rate of space on the second floor. The total monthly rent for the building is $30,000.
- How much of the monthly rental expense should be allocated to a department that occupies 10,000 square feet on the first floor?

• A) $2,000.
• B) $4,000.
• C) $5,000.
• D) $3,000.
• E) $8,000.

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Definitions:

Inevitable

A situation or event that is certain to happen and cannot be avoided or prevented.

Organizational Unit

A specific department, division, or group within an organization, often defined by function or role.

Leader Behavior

Refers to the actions and conduct exhibited by a leader, influencing the group or organization's performance and culture.

Path-goal Theory

A leadership theory that suggests the leader's job is to assist followers in attaining their goals and to provide direction or support needed to ensure their goals are compatible with the organization's.