Which Statement About the Grapevine Is Correct

question 71

Multiple Choice

Which statement about the grapevine is correct?

• A) It moves information rapidly through the organization.
• B) It is less active during times of uncertainty, such as layoffs, mergers, and branch closings.
• C) Most of the information communicated through the grapevine pertains to personal matters.
• D) Information spread through the grapevine is usually incomplete.
• E) It is not an important communication network in large organizations.

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Definitions:

Machine-Hours

A measure of production volume based on the total hours machines are run in the manufacturing process, often used to allocate overhead costs.

Departmental Predetermined Rates

The estimated overhead rates calculated for specific departments within a company to allocate costs appropriately.

Manufacturing Overhead

All indirect factory-related costs incurred during the production process, excluding direct materials and direct labor.

Machine-Hours

A measure of the amount of time machines are utilized during the production process.