Which of the Following Exemplifies Feedback Control

question 30

Multiple Choice

Which of the following exemplifies feedback control?

• A) A café supervisor greeting customers at their tables
• B) A supervisor reviewing customer comments about service
• C) A production supervisor providing employees with guidelines about the detection of improperly functioning machinery
• D) A restaurant manager visiting the kitchen to see how work is progressing

Understand the concept of net operating income and its role in assessing company performance.

Comprehend and apply the concept of residual income for performance evaluation.

Understand the implications of fixed expenses, sales, and contribution margin ratios on financial decision-making.

Apply theoretical knowledge to calculate average operating assets from given operational data.

---

Definitions:

Standard Hours

The predetermined amount of time expected to complete a task or to produce a unit of output under normal conditions.

Standard Variable Overhead Rate

The predetermined rate at which variable overhead costs are expected to be incurred relative to a certain measure of activity, such as labor hours.

Direct Labour Hours

Direct Labour Hours represent the amount of time spent by workers directly involved in manufacturing a product or providing a service.

Variable Overhead

Indirect operating costs that change in proportion to the level of production or business activity.