Question

Which of the following are factors used to determine when a business is unitary?

a. Unity of ownership
b. Unity of operation
c. Functional integration
d. Geographical dispersion

Answer 1

The factors used to determine when a business is unitary include unity of ownership, unity of operation, functional integration, and geographical dispersion.

Step-by-step explanation:

The factors used to determine when a business is unitary include:

1. Unity of ownership: This means that the business is owned and controlled by a single entity or a group of related entities.
2. Unity of operation: This refers to the business operating as a single entity, with centralized decision-making and coordination of activities.
3. Functional integration: This means that different parts or divisions of the business work together and are interdependent.
4. Geographical dispersion: This refers to the business having operations in multiple locations.

When these factors are present, it indicates that the business is unitary, meaning it operates as a single integrated entity rather than separate entities.