The Time and Money It Takes to Organize a Group

question 80

Multiple Choice

The time and money it takes to organize a group or a campaign and to get the attention of lots of busy people is the:

• A) cost of collective action.
• B) reason why collective action does not happen in the real world.
• C) reason why all individuals never participate in any collective action.
• D) initial set-up costs of the campaign or group.

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Definitions:

Direct Materials Purchases Variance

The difference between the actual cost of direct materials purchased and the expected (budgeted) cost of these materials.

Standard Direct Labor-Hours

The estimated amount of labor time required to produce one unit of output, based on established standards.

Variable Overhead Rate Variance

The difference between the actual and the standard cost of variable overheads in a production process.

Direct Materials Purchases Variance

The difference between the actual cost of direct materials purchased and the expected (or standard) cost, used for budgeting and cost control purposes.