The organization structure once the consultant has made changes. Introduction: The consultants have made changes to improve the efficiency of the stores and to reduce the amount of problems that are taking place in the store. Therefore, following paragraphs will discuss the type of organization structure. Case summary: The case study on Abrahams is about their original organizational structure that Abrahams formatted, however the case study also included few information on how the current structure was causing conflicts around the stores. Therefore, since they were causing conflicts, Doris had consulted a consultant on how to change this current structure so that better results could be obtained within the organizations and the current problems that arouse could be mitigated.

Question

Steve Osbourne is considering opening a business, but the major decision faced is how to organize the business. Steve anticipates generating a massive profit during the first year and that the following years should be relatively profitable. Although he has enough to start the business now as a partnership, he believes cash flow may be an issue as the company grows. Steve believes that the corporate form of operation will be his best option and have hired you as a consultant and seek your advice. Answer the following questions for Steve. Explain the corporate characteristic termed “no mutual agency” Explain the corporate characteristic termed limited liability. Explain the term outstanding stock. Is it true or false that corporations muse issue common stock, but may or may not decide to issue preferred stock? Is it true or false that all forms and classes of stock carry voting rights? Is it true of false that stock sold for amounts in excess of par value results in a gain reported on…

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Chapter 7, Problem 2AYSCFCA

Summary Introduction

To determine:

The organization structure once the consultant has made changes.

Introduction:

The consultants have made changes to improve the efficiency of the stores and to reduce the amount of problems that are taking place in the store. Therefore, following paragraphs will discuss the type of organization structure.

Case summary:

The case study on Abrahams is about their original organizational structure that Abrahams formatted, however the case study also included few information on how the current structure was causing conflicts around the stores. Therefore, since they were causing conflicts, Doris had consulted a consultant on how to change this current structure so that better results could be obtained within the organizations and the current problems that arouse could be mitigated.

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