After Standards Are Set, Supervisors

question 50

Multiple Choice

After standards are set, supervisors:

• A) have completed the controlling function.
• B) must actually monitor performance.
• C) must perform the production activities themselves.
• D) should monitor only tangible standards.

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Definitions:

First-In, First-Out

An inventory valuation method where the oldest inventory items are recorded as sold first.

Equivalent Units

This refers to the quantity of partially completed goods, expressed in terms of fully completed units, used in process costing to accurately allocate costs between completed and unfinished items.

Material Costs

Expenses for raw materials that are used in the production of goods.

First-In, First-Out

An inventory valuation method where the first goods purchased or produced are the first ones to be sold or used, presuming that older inventory is used before newer inventory.