You Have Just Been Assigned the Task of Developing an Innovative

question 60

Multiple Choice

You have just been assigned the task of developing an innovative new product,using people from engineering,marketing,purchasing and one or two other departments in the organization.To help the group to be as creative as possible,you would:

• A)give the team a very tight deadline to come up with a creative idea.
• B)threaten to fire any team member who suggests a silly idea that wastes time in the product-development process.
• C)encourage competition among team members as to who has the best job performance.
• D)move these employees out of their departments and into a common area where they can continuously communicate with each other.
• E)apply all of these activities.

---

Definitions:

Cost Flow Assumption

An accounting principle that determines how costs are allocated and reported, including FIFO (First-In, First-Out), LIFO (Last-In, First-Out), and average cost methods.

Vendor Allowances

Vendor allowances are funds provided by suppliers to a retailer for various promotional activities aimed at increasing the sale of their products.

Carrying Cost

The total cost of holding inventory, including storage, insurance, taxes, opportunity costs, and depreciation, over a certain period of time.

Goods Sold

Refers to products that have been sold and transferred from the seller to the buyer.