With Regard to the Managerial Function of Controlling in an Organization

question 67

Multiple Choice

With regard to the managerial function of controlling in an organization that has a conservative culture, managers ________.

• A) recognize that there are multiple potential paths to success and that failure must be accepted for creativity to thrive
• B) are less concerned about employees' performing their jobs in a specific, predetermined manner
• C) are concerned about employees' being flexible and taking the initiative to come up with ideas for improving performance
• D) set specific, difficult goals for employees, frequently monitor progress toward these goals, and develop a clear set of rules that employees are expected to adhere to
• E) encourage risk taking, creativity, and innovation

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Definitions:

Variable Costing

The concept that considers the cost of products manufactured to be composed only of those manufacturing costs that increase or decrease as the volume of production rises or falls (direct materials, direct labor, and variable factory overhead).

Manufacturing Costs

Expenses directly tied to the production of goods, including direct materials, direct labor, and manufacturing overhead.

Volume of Production

The total quantity of goods or services produced by a company within a specific period.

Factory Superintendent's Salary

A component of manufacturing overhead costs, representing the compensation paid to the individual overseeing factory operations.