ACCA Accountant in Business 2

Question 1

Which type of organizational structure groups employees by function, such as finance, marketing, and operations?

Accepted Answer

Functional structure

Answer

A functional structure organizes employees by specialized departments or functions rather than by product or geography.

Question 2

In the context of corporate governance, what is the primary role of a non-executive director (NED)?

Accepted Answer

To provide independent oversight and challenge executive decisions

Answer

NEDs provide independent scrutiny of executive management and contribute to strategy, risk, and performance oversight.

Question 3

Which of the following best describes 'span of control' in an organization?

Accepted Answer

The number of subordinates a manager directly supervises

Answer

Span of control refers to how many direct reports a single manager oversees.

Question 4

A company adopts a policy of rotating its external auditors every five years. Which governance principle does this primarily support?

Accepted Answer

Independence

Answer

Auditor rotation reduces the risk of familiarity threats, preserving the auditor's independence from management.

Question 5

Under Mintzberg's managerial roles, which role involves a manager representing the organization at formal events?

Accepted Answer

Figurehead

Answer

The figurehead role is a ceremonial interpersonal role where the manager acts as a symbolic head of the organization.

ACCA - Association of Chartered Certified Accountants Practice Test