Association of Chartered Certified Accountants (ACCA) Certification Practice Test

Disable ads (and more) with a membership for a one time $2.99 payment

Prepare for the ACCA Certification Exam with interactive quizzes and detailed explanations. Get a head start on your success with our comprehensive study tools.

Each practice test/flash card set has 50 randomly selected questions from a bank of over 500. You'll get a new set of questions each time!

Practice this question and more.

What is one source of authority that is based on established rules?

Charismatic
Rational-Legal
Traditional
Resource

The correct answer is: Rational-Legal

The source of authority that is based on established rules is Rational-Legal authority. This concept, developed by sociologist Max Weber, refers to a type of authority that derives its legitimacy from a system of well-established laws and procedures. In this framework, the right to issue commands is rooted in legal statutes, formal regulations, and the processes by which laws are made, applied, and enforced. Rational-Legal authority is characteristic of modern bureaucracies where rules and regulations are documented and followed to maintain order and predictability. Charismatic authority, on the other hand, is based on an individual’s personal qualities and the devotion they inspire in others, which does not rely on established rules. Traditional authority is derived from established customs, practices, and societal structures, rather than from codified laws. The term “resource” does not refer to a source of authority but typically refers to the assets, materials, or human capital available to an organization. Rational-Legal authority emphasizes the importance of codified laws and procedures, making it a crucial concept in understanding modern governance and organizational structure.