Which One of the Following Is Among the Reasons Why

question 15

Multiple Choice

Which one of the following is among the reasons why managers should plan?

• A) When work activities are coordinated around plans, inefficiencies become obvious.
• B) Uncertainty can be eliminated and the organization can be insulated from change with planning.
• C) Planning eliminates the need to set goals.
• D) Planning eliminates the need to measure work effort.

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Definitions:

Cost of Goods Sold

The specific expenses directly tied to the manufacturing of products sold by a business, such as costs for materials and labor.

Percentage

A fraction or ratio expressed as a part of one hundred, used to describe proportions or compare values.

Retail Inventory Method

An accounting procedure for estimating inventory value by applying a percentage cost-to-retail price.

Inventory Value

The total cost or market value of all items held in inventory, including raw materials, work-in-progress, and finished goods.