The First Step in Controlling Is To

question 133

Multiple Choice

The first step in controlling is to:

• A)take corrective action
• B)measure performance against standards
• C)monitor goals
• D)explain the meaning of goals
• E)establish performance standards

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Definitions:

Activity Rate

A measure used in cost accounting to allocate costs to products or services based on the activities required to produce them.

Estimated Cost

An approximation of the cost to produce goods or services, used for budgeting and planning.

Activity-Based Costing

A costing method that assigns overhead and indirect costs to related products and services based on their usage of the resources.

Materials Handling

The movement, protection, storage, and control of materials and products throughout manufacturing, warehousing, distribution, and disposal processes.