Ian Wonders What Type of Organizational Structure Is Best Suited

question 79

Multiple Choice

Ian wonders what type of organizational structure is best suited for his company, a medium-sized manufacturing firm servicing the electronics industry. In addition to its normal product lines, the company occasionally produces special products that require the cooperation of a variety of personnel from many departments. What form of organizational structure is best suited for this operation?

• A) matrix organization
• B) informal organization
• C) functional organization
• D) line organization

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Definitions:

Semiannual Interest Payments

Interest payments made twice a year on a loan or bond.

Equity Method

An accounting technique used to record investments in other companies, reflecting the investor's share of the investee's profits or losses.

Outstanding Stock

Shares of a company that have been issued and are currently held by investors.

Net Income

The net income a company earns following the subtraction of all costs, taxes, and expenses from its total revenue.