_________Are/is Where Associates Earn Bonuses Based on Company Profits

question 149

Multiple Choice

_________are/is where associates earn bonuses based on company profits.

• A) Gain-sharing
• B) Profit-sharing
• C) Merit-sharing
• D) Optimal incentives
• E) Savings incentives

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Definitions:

Predetermined Overhead Rate

A rate used to allocate manufacturing overhead costs to each unit of production, based on estimated or budgeted overhead costs and activity.

Machine-Hours

A measure of production output or activity level based on the total hours machines are operating.

Total Manufacturing Cost

The cumulative expense of producing goods, including labor, materials, and overhead costs.

Predetermined Overhead Rate

A rate used to apply manufacturing overhead to products or job orders, calculated before the production period begins.