Favorable Volume Variances May Be Harmful When

question 36

Multiple Choice

Favorable volume variances may be harmful when:

• A) machine repairs cause work stoppages.
• B) supervisors fail to maintain an even flow of work.
• C) production in excess of normal capacity cannot be sold.
• D) there are insufficient sales orders to keep the factory operating at normal capacity.

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Definitions:

Self-actualization Needs

According to Maslow's hierarchy, the highest level of psychological development where an individual reaches their full potential.

Psychological Development

The growth and change in an individual's cognitive, emotional, and social capabilities and behaviors throughout their life.

Esteem Needs

A concept in Maslow's hierarchy referring to the human desire for respect, self-esteem, and recognition from others.

Physiological Needs

Basic physical requirements for human survival, such as air, water, food, shelter, and sleep.