A Worker at a Motorcycle Plant Comes Up with a New

question 61

Multiple Choice

A worker at a motorcycle plant comes up with a new way to attach the fuel injection system to the motor,increasing the efficiency of the assembly process.Always on the lookout for ways to standardize procedures,managers instruct all employees to attach fuel injection systems the same way.If all workers followed the rule to the letter,every car would come off the assembly line with its fuel injection system attached in the new way and there would be no need to check exhaust pipes at the end of the line.Which of the following forms of control is being used by the managers of the motorcycle plant?

• A) Bureaucratic control
• B) Clan control
• C) Management by objectives
• D) Output control
• E) Input control

---

Definitions:

IFRS

International Financial Reporting Standards, a set of accounting standards designed to ensure transparency, accountability, and efficiency in financial statements globally.

Fair Value

The estimated price at which an asset can be bought or sold in a current transaction between willing parties, other than in a liquidation sale.

Capital Lease

A lease agreement where the lessee essentially becomes the owner of the asset for accounting purposes, often including an option to purchase at the lease's end.

Operating Lease

An operating lease is a lease agreement for the use of an asset where the lessee obtains rights to use the asset for a fraction of the asset's useful life without ownership transfer.