Association of Chartered Certified Accountants (ACCA) Certification Practice Test

Which of the following is NOT a type of authority?

1. Line

2. Staff

3. Symbolic

4. Functional

The correct answer is: Symbolic

In organizational structure, authority is typically classified into various types that define how decisions are made and who holds the power to make those decisions. Line authority refers to the direct flow of authority from one level of management to the next, where individuals in positions of line authority have the power to command and control the operations of their subordinates. This type is crucial as it establishes a clear chain of command. Staff authority, on the other hand, refers to the advisory role where individuals provide expertise and support to line authorities, helping them in their decision-making process, but they do not have the power to command the actions of others directly. This reflects the need for specialized knowledge in certain areas that can enhance the functioning of the organization. Functional authority involves the power given to a specific department or individual to control certain activities within the organization, regardless of the traditional line structure. This allows for a more specialized management approach where certain functions have authority over their respective operations. Conversely, symbolic authority is not recognized as a formal type of authority in organizational analysis. It may refer to the perceived influence or respect that an individual has within an organization, based on their status or image rather than a structured, formalized power to enforce decisions or command others. Therefore, it does