As Teams Increase in Size

question 22

Multiple Choice

As teams increase in size:

• A) the communication becomes less congested.
• B) it becomes easier to manage them.
• C) the number of potential interactions increases geometrically.
• D) the nature of the task ceases to affect team effectiveness.
• E) team effectiveness reaches its peak.

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Definitions:

Variable Overhead Efficiency Variance

The difference between the actual variable overhead costs incurred and the standard variable overhead costs, based on efficient use of resources.

Labor Rate Variance

The difference between the actual hourly wage paid to workers and the expected (or standard) wage rate, multiplied by the total hours worked.

Variable Overhead Rate Variance

Variable overhead rate variance is the difference between the actual variable overhead costs incurred and the expected (standard) costs, influenced by fluctuations in production activity levels.

Materials Price Variance

The difference between the actual cost of materials and the standard (or expected) cost, indicating how much more or less was spent on materials than was planned.