Which of the Following Is an Important Phenomenon Encountered in Cost

question 19

Multiple Choice

Which of the following is an important phenomenon encountered in cost control efforts?

• A)Piecemeal programs may not work well.
• B)A large percentage of employees are responsible for generating the majority of health care costs.
• C)Employees usually stick on to specific programs in spite of cost control efforts on account of the administrative issues.
• D)Employees are willing to aid in cost cutting efforts by not making unnecessary claims.

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Definitions:

Perpetual Inventory System

An accounting method that records the sale or purchase of inventory immediately through the use of computerized point-of-sale systems and enterprise asset management.

LIFO

"Last In, First Out," an inventory valuation method where the latest goods purchased are the first to be sold.

Inventory Cost Card

A record-keeping tool that tracks the cost associated with a specific item of inventory, detailing purchases, sales, and adjustments.

Perpetual Inventory System

An inventory management system where updates to inventory records are made in real-time following each sale or purchase transaction.