Provide a Short Answer to Each of These Questions

question 76

Essay

Provide a short answer to each of these questions. Be sure to fully explain your answer.
-Consider an anecdote of a woman renting a car in California and being charged a large penalty because she drove out of state. The rental car company had tracked her locales through a global positioning system (GPS), allegedly without telling the woman that they would be doing so. Apparently the woman was upset because she was not told about the GPS. Is the failure to tell her the main issue?

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Definitions:

Standard Cost

A predetermined cost of manufacturing a product or providing a service, under normal conditions, which serves as a benchmark for measuring performance.

Direct Labor Workers

Direct Labor Workers are employees who are directly involved in the production of goods or services, whose wages are considered part of the direct costs of production.

Fixed Overhead

Costs that do not change with the level of production or sales, such as salaries, rent, and insurance, which are necessary for the operation but do not vary with the volume of output.

Direct Labor-Hours

A measure of the labor directly involved in the production of goods, often used in calculating standard costs and variances.