What Principle Is Built on the Idea That There Is

question 104

Multiple Choice

What principle is built on the idea that there is no general plan for which way to go and what to do?

• A) Managing by crisis
• B) Managing by extrapolation
• C) Managing by objectives
• D) Managing by hope
• E) Managing by subjectives

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Definitions:

Variable Overhead Spending Variance

The difference between actual variable overhead costs incurred and the expected (standard) costs based on the actual level of production activity.

Fixed Overhead Spending Variance

The difference between the actual and budgeted fixed overhead costs incurred during a period.

Variable Manufacturing Overhead

Refers to the production costs that fluctuate with the level of output, such as utility costs or raw materials, which are not directly tied to individual units.

Materials Quantity Variance

The difference between the expected and actual quantity of materials used in production, impacting materials cost.