What Are the Two Ways That a Company Can Obtain

question 23

Multiple Choice

What are the two ways that a company can obtain new products?

• A)line extension and brand management
• B)internal development and merger
• C)new-product development and acquisition
• D)service development and product extension
• E)market mix modification and research and development

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Definitions:

Labour Efficiency Variance

The difference between the actual hours worked and the standard hours allowed for the work performed, multiplied by the standard labor rate.

Labour Rate Variance

A measurement of the difference between actual labor costs and what those costs should have been according to standard rates.

Quantity Standards

Quantity standards refer to the specified amount of materials, labor, and overhead that should be used for producing one unit of goods, serving as benchmarks for measuring efficiency.

Standard Costing

A cost accounting method that assigns expected costs to products, which are then compared with actual costs to measure performance.