The _____ Occurs When a Manager Uses Only the Lower

question 67

Multiple Choice

The _____ occurs when a manager uses only the lower end of the scale to rate employees.

• A) leniency error
• B) recency effect
• C) primacy effect
• D) strictness error

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Definitions:

Overhead Applied

The amount of overhead cost assigned to a particular cost object based on a predetermined rate, formula, or method.

Milling Department

A specific department within a manufacturing facility where milling processes, involving the removal of material to shape parts, occur.

Customizing Department

A specialized department within an organization that tailors products or services to meet specific customer requirements.

Predetermined Overhead Rate

A rate calculated before a period begins, used to allocate overhead costs to products based on a certain basis such as labor hours or machine hours.