There Is a Negative Relationship Between the Number of Employees

question 44

True/False

There is a negative relationship between the number of employees trained and the utility of a training program.

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Definitions:

Operating Income

Earnings before interest and taxes (EBIT), representing a company’s profit from its core business operations.

Variable Costs

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

Fixed Costs

Costs that do not vary with the volume of output produced, such as rent, salaries, and insurance premiums.

High-low Method

A technique in cost accounting used to estimate fixed and variable costs given the highest and lowest levels of activity.