Jose Realizes Actual Productivity Numbers Are Far Less Than the Forecasted

question 13

Multiple Choice

Jose realizes actual productivity numbers are far less than the forecasted productivity numbers.Seeing this reality means Jose now needs to do which one of the following as an attempt to bring performance up to the standards?

• A)measure performance
• B)compare measured performance to standards
• C)take corrective action
• D)adjust what to measure
• E)adjust how to measure

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Definitions:

Standard Cost Variances

The differences between the actual costs incurred and the standard costs for producing a good or service.

Cost Of Goods Sold

Directly attributable expenses in the making of products sold by a business, encompassing materials and labor.

Materials Quantity Variance

The variance between the real amount of materials consumed in the manufacturing process and the anticipated standard amount, measured at the standard expense.

Standard Hours

The predetermined amount of time expected to complete a task or produce a unit of product under normal conditions.