Which of the Following Is True of Creating an Obligation

question 40

Multiple Choice

Which of the following is true of creating an obligation during the process of delegating?

• A) Creating an obligation is the first step in the process of delegating.
• B) Following delegation, both employees and supervisors have responsibility for the work.
• C) Once an employee accepts responsibility, the supervisor is not held responsible.
• D) Supervisors can force employees to feel responsible when employees are reluctant.

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Definitions:

Variable Production Costs

Variable production costs are expenses that vary directly with the level of production, such as raw materials and direct labor costs.

Fixed Costs

Costs that do not vary with the volume of production or sales, such as rent, salaries, and insurance expenses.

Net Advantage

The overall financial benefit gained from a particular investment or business decision, considering all relevant costs and revenues.

Variable Production Costs

Costs that change in proportion to the level of production output, such as raw materials and direct labor.