The Definition of Exception Principle

question 7

Multiple Choice

The definition of exception principle

• A) states that individuals should only receive orders from one person.
• B) concerns line and staff, in which authority and responsibility should flow in a direct path from the top people in the organization to the lowest member.
• C) states that decisions that can be routinized should be delegated.
• D) states that managers should supervise a limited number of individuals.
• E) states that as workers become better at their jobs, they can move up the organization ladder to management positions.

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Definitions:

Supply

The total amount of a product or service that is available to consumers.

Rents

Payments made for the use of property or land; in economics, it also refers to earnings in excess of the minimum amount needed to keep a factor of production in its current use.

Dollar Loss

A decrease in the value of an investment, expressed in dollar terms, compared to its purchase price.

AIG

American International Group, a multinational finance and insurance corporation known for its extensive global operations and services.