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Victor Craig is sales director for a software company selling diagnostic software to automotive repair shops all across the country. He has been with the company for 14 months and manages a staff of six sales representatives. Victor also covers a four-state territory himself. On Monday the CEO of the company calls Victor into his office and states that management is dissatisfied with Victor's performance as sales director. Victor has 90 days to turn his performance around, or he will be fired.
-One sales representative complains that she never knows where she stands with Victor because he rarely provides feedback. The sales representative also indicates that Victor fails to communicate his expectations to sales team members. Victor most likely needs to work on the leadership dimension of:
Fixed Overhead Volume Variance
The difference between the budgeted and actual volume of production, multiplied by the fixed overhead rate, indicating how fixed costs are allocated over different levels of output.
Fixed Overhead Budget Variance
This term refers to the difference between the budgeted fixed overhead costs and the actual fixed overhead costs incurred.
Standard Fixed Manufacturing Overhead Rate
The predetermined rate used to apply fixed manufacturing overhead to products, based on an estimate of total fixed manufacturing costs and an allocation basis.
Actual Fixed Overhead Costs
The real costs incurred for fixed overhead during a specified accounting period.
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