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Question
Formal authority flows from upwards to downwards in___________.
Options:
A .  formal organization
B .  informal organization
C .  business or oganisation
D .  strategic organization
Answer: Option A
Formal authority flows from upwards to downwards in formal organization. Formal Organization is an organisation in which job of each member is clearly defined, whose authority, responsibility and accountability are fixed. Informal Organization is formed within the formal organisation as a network of interpersonal relationship when people interact with each other.

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