GHI IncLorraine Has Worked at GHI Inc

question 8

Multiple Choice

GHI Inc.Lorraine has worked at GHI Inc.for 14 years.GHI has a large building where each divisional unit is located on a different floor.Lorraine works on the accounting floor and belongs to the budget committee, where she met Sally from Engineering and Jonas from Receiving.This committee provides recommendations to upper management on various financial issues affecting the company.Each week, the three meet after work on Thursdays to play darts at a local pub.Lorraine works in the unit in Accounting that handles Accounts Receivable.What type of team is this most likely to be?

• A)Leadership team
• B)Self-directed team
• C)Virtual team
• D)Task force team
• E)Departmental team

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Definitions:

Variable Costing

This accounting method includes only variable costs - costs that vary with production level - in the calculation of the cost of goods sold.

Unit Product Cost

The total cost associated with creating one unit of product, including materials, labor, and overhead.

Variable Costing

An accounting method where only the variable production costs are allocated to the product, while fixed costs are treated as period costs.

Net Operating Income

The total income from operations of a company before taxes and interest deductions.