Which of the Following Steps Can a Management Take to Reduce

question 102

Multiple Choice

Which of the following steps can a management take to reduce the undesirable effects of absorption costing?

• A) It can evaluate managers on quarterly basis rather than the usual yearly period thereby mitigating the undesirable effects of absorption costing.
• B) It can delegate powers to managers to decide which orders they want to accept so that any order which will lead to inventory build-up can be rejected.
• C) It can empower managers to decide the timings of maintenance of plants thereby ensuring that the production is not affected.
• D) It can encourage using nonfinancial measures such as units in ending inventory compared to units in sales.

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Definitions:

Fat Cells

Specialized cells that store energy in the form of fat and regulate metabolism.

Eustachian Tube

A small canal that connects the middle ear to the throat, helping to equalize air pressure on both sides of the eardrum and drain fluid from the middle ear.

Ear Infections

Inflammations or infections of the ear, which can affect the outer, middle, or inner parts, often causing pain, fluid buildup, and sometimes hearing loss.

Motor Skills

The abilities required to control the small and large muscles of the body for movements such as walking, jumping, and holding.