Which of the Following Factors Contribute to Small Business Failure

question 140

Multiple Choice

Which of the following factors contribute to small business failure?

• A) managerial incompetence or inexperience
• B) neglect
• C) weak control systems
• D) any of the above

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Definitions:

Manufacturing Overhead Rate

The rate used to allocate manufacturing overhead costs to products, calculated as total overhead costs divided by a selected allocation base.

Machine-Hours

A measure of the amount of time machines are operated in the production of goods, used as a basis for allocating manufacturing overhead in cost accounting.

Overhead Applied

The portion of overhead costs allocated to individual products or services based on the predetermined overhead rate.

Manufacturing Overhead Applied

The allocation of estimated manufacturing overhead costs to individual units of production based on a predetermined rate.