Had Sales Been Negatively Affected by the Reduced Cost of the Subways

question 66

Multiple Choice

Had sales been negatively affected by the reduced cost of the Subways foot-long sub, what would Subway have done?

• A)not offered the $5 sub
• B)not offered the $5 sub, but asked why it affected the sale of higher priced items
• C)made all the items on the menu lower cost
• D)increased the cost of the foot-long sub

Assess variable overhead efficiency variances for cost management.

Understand the standard cost card as a tool for variance analysis.

Apply variance analysis to real-world business scenarios for better decision-making.

Develop the ability to distinguish between favorable and unfavorable variances and their implications.

---

Definitions:

Decree

A formal and authoritative order, often used in a legal context, such as a court decision or judgement.

Essential Functions

Fundamental job duties or activities that must be performed to achieve the objectives of a specific position.

Law

A system of rules that are created and enforced through social or governmental institutions to regulate behavior.

American Legal System

The judiciary framework of the United States, including federal and state courts, which interprets and applies the law.