Tiffany Recently Discovered That the Reject Rate for Her Department

question 26

Multiple Choice

Tiffany recently discovered that the reject rate for her department has exceeded the standard for performance in this area. What should Tiffany do to exercise effective control?

• A) She should order more training for her workforce.
• B) She should contact the maintenance department and have them come fix her machinery.
• C) She should suspend the low-performing workers in her department.
• D) She should investigate and discover the cause of the problem.
• E) None of these

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Definitions:

Debit

An accounting entry that increases an asset or expense account, or decreases a liability or equity account. It is positioned on the left in an accounting entry.

Credit

An accounting entry that increases a liability or equity account or decreases an asset or expense account, reflecting the opposite of a debit.

Basic Accounting Equation

Assets = Liabilities + Stockholders’ Equity.

Assets

Resources owned by a business or individual that have economic value and can be converted into cash.