Scenario 4-1 A Group Called Adbusters Has a Website Containing Many Pages

question 31

Multiple Choice

Scenario 4-1
A group called Adbusters has a website containing many pages that address issues of consumption and culture, media practices, and corporate responsibilities.For example, "The momentum has clearly accelerated.By some measures humans have used more physical resources since World War II than in all of history before it.It's now taking a toll beyond anything we could ever have imagined.What does it mean when one­sixth of the world's population consumes without any real restraint?"
Throughout the website, there are many references to advertising's role in creating and maintaining this situation.Not surprisingly, virtually all of the references to the practice of advertising are negative.
HYPERLINK http://www.adbusters.org/home/) (http://www.adbusters.org/home/)
-(Scenario 4-3) In the commercial, a sports star is shown in a sailboat on a beautiful lake, sending a long cast into the water, then listing the excellent features of the Lightning Rod.It closes with a well-known celebrity happily reeling in a fish.To meet FTC standards for this type of endorsement, the celebrity must:

• A)be considered an expert in the field of sport fishing.
• B)share 2 per cent of the expenses involved in the advertisement.
• C)actually use the Lightning Rod when fishing on his own.
• D)write the statements that he makes in the ad.

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Definitions:

Direct Labor-Hours

The aggregate of hours spent by staff members who are directly engaged in producing merchandise or rendering a service.

Job-Order Costing

A cost accounting system that assigns costs to specific production batches or jobs, making it suitable for customized orders.

Predetermined Overhead Rate

An estimated rate used to allocate manufacturing overhead costs to individual products or job orders, based on a particular activity base.

Machine-Hours

A measure of production time used in cost accounting, representing the number of hours that machinery is in operation during a given period.