The Office of Price Administration Attempted to Combat Inflation During

question 22

Multiple Choice

The Office of Price Administration attempted to combat inflation during World War II by

• A)abolishing price controls.
• B)ordering a rapid increase in wages for workers and businesses.
• C)stabilizing and freezing prices.
• D)limiting the number of job opportunities on the West Coast.
• E)shifting away from war production to provide for consumer demand.

---

Definitions:

Variances

The difference between expected and actual figures in budgeting and financial forecasting.

Direct Labor-Hours

The complete count of hours expended by personnel directly part of the process in making a product or providing a service.

Standard Cost System

An accounting method that uses cost estimates for labor and materials to plan a budget and measure performance.

Fixed Manufacturing Overhead

Costs that do not vary with the level of production, such as rent, salaries, and insurance associated with manufacturing.