In Equity Theory,when a Manager's Own Outcome/input Ratio Is Perceived

question 52

True/False

In equity theory,when a manager's own outcome/input ratio is perceived by him/herself to be less than that of a referent,overpayment inequity is felt.

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Definitions:

LIFO

"Last In, First Out" - an inventory valuation method where the most recently produced or purchased items are recorded as sold first.

FIFO

"First-In, First-Out," an inventory valuation method where goods first purchased or produced are the first to be sold or used.

Weighted Average

Weighted average is a calculation that takes into account the varying degrees of importance of the numbers in a dataset, assigning weights to some of the numbers more than others.

Inventory Carrying Cost

The total cost of holding inventory, which includes warehousing, depreciation, obsolescence, spoilage, insurance, and taxes, among others.