Which of the Following Violates the Principle of Just Cause

question 58

Multiple Choice

Which of the following violates the principle of just cause?

• A) A company launches a criminal investigation into allegations that an employee has been intentionally making mistakes in his work to "get back at" his supervisor.
• B) David is disciplined because a co-worker, Bonita, tells their supervisor that David has been making personal long-distance calls on company telephones.
• C) Employees are notified by their supervisor that they will be disciplined if they leave work before an important job is finished that day.
• D) Seth has been with his employer for two years and has a perfect service record. Today, however, his supervisor saw him use a tool unsafely on the shop floor. The supervisor briefly chats with Seth about proper use of tools.

---

Definitions:

Direct Labor-Hours

The total hours worked by employees directly involved in the manufacturing process, used as a basis for allocating labor costs to products.

Activity-Based Costing

A method in cost accounting that assigns costs to products and services based on the activities involved in their production or delivery.

Activity Rates

Rates used in activity-based costing to assign overhead costs to products or services, based on the activities that drive those costs.

Activity-Based Costing

A costing method that assigns overhead and indirect costs to specific activities, providing more accurate cost information.