One of the Disadvantages of Divisional Structure Design Is That

question 83

Multiple Choice

One of the disadvantages of divisional structure design is that they divide ________,________,and knowledge.They insulate divisional managers from other divisional managers thus inhibiting their ability to coordinate activities,share resources,and learn from each other.

• A) land, buildings
• B) assets, structures
• C) people, resources
• D) people, buildings

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Definitions:

Gross Profit

It's the profit a company makes after deducting the costs associated with making and selling its products, or the costs associated with providing its services.

Gross Profit

The difference between the revenue generated from sales and the cost of goods sold, before deducting overheads, payroll, taxation, and interest payments.

Perpetual Inventory System

It's a method in accounting where inventory sales and purchases are registered immediately using automated point-of-sale systems and enterprise asset management programs.

Credit Memo

A document issued by a seller to a buyer, reducing the amount owed by the buyer to the seller, typically due to a return or rebate.