When the Supervisor Involves Employees in Making Decisions, He or She

question 90

Multiple Choice

When the supervisor involves employees in making decisions, he or she cannot always be sure of the outcomes. Supervisors differ in their level of comfort with this uncertainty, which refers to their

• A) personal leadership strengths.
• B) level of confidence in employees.
• C) tolerance for ambiguity.
• D) knowledge and experience.

---

Definitions:

Average Cost Methods

A cost-flow assumption for inventory valuation, where the cost of goods sold and ending inventory are calculated based on the average cost of all units available for sale.

Gross Profit

The difference between sales revenue and the cost of goods sold, before deducting overhead, payroll, taxation, and interest payments.

Ending Inventory

The aggregate value of products on hand for selling when an accounting cycle concludes.

Gross Profit

The difference between revenues and the cost of goods sold before deduction of operating expenses, interest, and taxes.