Which of the Following Is Not a Drawback of a Narrow

question 2

Multiple Choice

Which of the following is not a drawback of a narrow span of control?

• A) It is expensive.
• B) It makes vertical communication in the organization more complex.
• C) Supervisors may lose control of their employees.
• D) It encourages overly tight supervision.
• E) It helps increase organizational efficiency.

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Definitions:

Owner's Right

The legal entitlements and privileges that come with owning an asset or property, including the right to use, rent, or sell it.

Financial Risk

The possibility of losing money on investments or business operations due to market fluctuations, interest rates, or credit issues.

Futures Contracts

Contracts that legally bind parties to purchase or sell a specific commodity or financial instrument for a set price on a future date.

Marked To The Market

Refers to the daily settling of gains and losses due to changes in the market value of a security, particularly relevant for futures contracts.