Which of the Following Is an Advantage of the Multidivisional

question 53

Multiple Choice

Which of the following is an advantage of the multidivisional structure?

• A) Development time is fast due to decentralization.
• B) Functional specialists from each division can easily share information with each other.
• C) Bureaucratic costs are low.
• D) An internal labor market is created.

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Definitions:

After-Tax Profit

The net income a company remains with after all the taxes have been subtracted from the total revenue.

Market Value

The price at which an asset would trade in a competitive auction setting.

Interest Rate

The cost of borrowing money or the return on investment, usually expressed as a percentage.

Pure Interest Yield

The portion of a loan's interest rate that solely reflects the cost of borrowing money, excluding any other charges or fees.