A Company Allows Its Workers to Take One Afternoon Off

question 97

True/False

A company allows its workers to take one afternoon off each month to volunteer at the nonprofit organization of their choice.The company sends out a press release that explains this program to the media.This is considered a reactive public relations strategy, similar to event sponsorship.

---

Definitions:

Variable Cost

Costs that vary directly with the level of production or the volume of services rendered, such as raw materials and direct labor.

Fixed Costs

Costs that remain constant regardless of the amount of products or services a company generates, including expenses like lease payments, wages, and premiums.

Break-even Point

The volume of production or sales at which total revenues equal total costs, resulting in neither profit nor loss.

Variable Cost

Expenses that vary directly with the level of production or sales volume, such as raw materials and direct labor.