The Span of Management Refers to the Number of Employees

question 167

True/False

The span of management refers to the number of employees reporting to a manager.

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Definitions:

Direct Materials

Raw materials that are directly traceable to the manufacturing of a product and are significant in cost.

Sales Commissions

Fees paid to salespeople or brokers for facilitating or closing sales, usually calculated as a percentage of the sales value.

Direct Labor

The wages or costs associated with employees who directly contribute to the manufacture of a product or delivery of a service.

Direct Materials

Materials directly linked to the production of a product, representing a major part of the manufacturing cost.