Which of the Following Statements Is True About the Effect

question 86

Multiple Choice

Which of the following statements is true about the effect of implementing SAP in the accounting process?

• A) Agents' training and experiences will vary leading to several mistakes in the purchase orders.
• B) Real-time data sharing will reduce roll-up time.
• C) Three-way discrepancies will take time to correct.
• D) Weak internal controls will lead to limited scrutiny of purchases.

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Definitions:

Direct Labor

The cost of wages for employees who directly manufacture or produce goods.

Unfavorable

A term used to describe outcomes or variances that negatively impact a business financially or operationally.

Direct Materials Quantity Variance

The difference between the actual quantity of materials used in production and the standardized expected quantity, valued at the standard cost per unit.

Direct Materials

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