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CMA Foundation · Fundamentals of Business Economics and Management · Organisation Structure, Responsibility, Accountability and Delegation of Authority

In a firm organised on the line structure, authority flows from the top in a single chain. Which feature best describes this structure?

A line structure has a direct vertical chain of command in which each subordinate receives orders from only one superior. This preserves unity of command and keeps accountability clear. Multiple bosses describe functional or matrix structures, not line.

  1. AEach subordinate receives orders from only one superior through a direct vertical chainCorrect
  2. BEach employee reports to several specialist managers at once
  3. CAuthority is shared equally among all members of a committee
  4. DStaff specialists issue binding orders to line managers

Explanation

A line organisation is the simplest form, with a direct vertical chain of command and unity of command. Each person has one boss. Option B describes a functional or matrix arrangement, and option D confuses staff advice with line authority.

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