Ingram Micro Is the Biggest Computer Wholesaler in the World

question 172

Multiple Choice

Ingram Micro is the biggest computer wholesaler in the world.It has two divisions.One provides supplies for companies that manufacture computer products,such as IBM and Microsoft.To them it sells motherboards,monitors,etc.The other has been developed to serve the needs of the resellers and retailers who sell computers to businesses and individual customers.To them,it sells user-ready computers.In this example,Ingram Micro MOST LIKELY would use which type of organizational structure for marketing?

• A)product line grouping
• B)geographical grouping
• C)functional grouping
• D)matrix organization
• E)market-based grouping

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Definitions:

Machine-Hours

The total time machines are operated within a certain period, often used to allocate manufacturing overhead.

Manufacturing Overhead

All manufacturing costs that are not directly associated with the production of goods, such as salaries of supervisors and the cost of factory utilities.

Predetermined Overhead Rate

An estimated rate used to allocate manufacturing overhead costs to individual products or job orders based on a specific activity base.

Machine-Hours

A measure of production or work volume that indicates the amount of time a machine has been operating.