The Exhibit Below Reflects a Summary of Performance for a Single

question 23

Multiple Choice

The exhibit below reflects a summary of performance for a single item of a retail store's inventory for the month ended April 30: (CIA adapted) $\begin{array}{lccccccc}&&&&\text { Flexible }&&& \text { Static }\\&&\text { Actual } && \text { Budget } & &\text { Flexible } & \text { (Master) } \\&&\text { Results } && \text { Variances } && \text { Budget } & \text { Budget }\\\text { Sales (units) } & & 11,000 & & -0 & & 11,000 & 12,000 \\ \text { Revenue (sales) } & \$ & 208,000 &\text { \$ } & 12,000 \mathrm{U} & \$ & 220,000 & \$ 240,000 \\ \text { Variable costs } & & 121,000 & & 11,000 \mathrm{U} & & 110,000 & 120,000 \\\text { Contribution margin } & \text { \$ } & 87.000 & \text { \$ } & 23.000 \mathrm{U} & \text { \$ } & 110.000 & \$ 120.000 \\\text { Fixed costs } & & 72,000 & & -0 & & 72,000 & 72,000 \\ \text { Operating Income } & \$ & 15,000 &\text { \$ } & 23,000 \mathrm{U} & \$ & 38,000 & \$ 48,00 \\ \end{array}$ The sales activity variance is:

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Definitions:

Proposed Change

A recommendation to alter a process, system, product, or organization with the aim of improving efficiency or effectiveness.

Shared Power Strategy

a cooperative approach to decision-making and leadership where control and authority are distributed among multiple stakeholders.

High Commitment

A work approach characterized by dedication and a strong sense of responsibility towards organizational goals.

Internalization

The process of incorporating or integrating beliefs, values, standards, or norms into one's own psychological structure, so they guide one's behavior without external enforcement.