Which Component Within the Star Model of an Organization's Design

question 10

Multiple Choice

Which component within the star model of an organization's design is the organization's direction and long-term strategy?

• A) Strategy
• B) Structure
• C) Processes and lateral capability
• D) Reward systems

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Definitions:

High-low Method

A technique in cost accounting used to estimate fixed and variable costs by analyzing the highest and lowest levels of activity and their respective costs.

Variable Cost Per Unit

The cost that varies with the level of output or production, calculated on a per-unit basis.

Fixed Costs

Expenses that remain constant for a business regardless of the level of production or sales volume.

Break-even Sales

The amount of revenue needed to cover a business's total fixed and variable costs, marking the point at which a business neither makes a profit nor a loss.