As a Response to a Rapidly Changing Marketplace, Idea Electronics

question 239

Multiple Choice

As a response to a rapidly changing marketplace, Idea Electronics found it necessary to reorganize, including a significant downsize of its middle management. This action will likely result in ___________

• A) acquiring additional firms
• B) flattening the organization and empowering employees, allowing them to get closer to the customer
• C) increasing the size of its traditional departments to handle 24/7 operations
• D) centralizing its decision making to better control its total quality management program

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Definitions:

Depreciation Of Equipment

Depreciation of equipment refers to the accounting process of allocating the cost of tangible assets over their useful lives, reflecting the reduction in value over time.

Rent Expense

The cost incurred by a business or individual for the use of a property or equipment.

Operating Cash Flow

The total amount of money generated by a company's normal business operations.

Net Income

The amount of money a company has left as profit after paying off all expenses and taxes from its gross income.