Formal authority flows _________.

downwards

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upwards

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horizontally

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vertically

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Solution

The correct option is A downwards
In a formal organisation the flow of authority is downwards ie. from top to bottom. Formal organisational structure clearly defines superior subordinate relationship i.e. who reports to whom. So there is no chance of duplication or overlapping of work.

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Distinguish between formal and informal organisation.

(i) Meaning (ii) Origin (iii) Authority (iv) Behaviour (v) Flow of communication (vi) Nature

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