Which of the Following Conditions Normally Would Not Indicate That

question 62

Multiple Choice

Which of the following conditions normally would not indicate that standard costs should be revised?

• A)The engineering department has revised product specifications in responding to customer suggestions.
• B)The company has signed a new union contract that increases the factory wages on average by $2.00 an hour.
• C)Actual costs differed from standard costs for the preceding week.
• D)The world price of raw materials increased.

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Definitions:

Stable Product Domain

A market segment or industry characterized by consistent demand and relatively small changes over time.

Market Domain

The specific area or segment of the market that an organization targets or operates within, defined by its customers, products, and competitors.

Formal Structures

The officially designated organization framework, often depicted in organizational charts, that dictates how tasks are divided, grouped, and coordinated.

Plan Components

The essential elements that make up a strategic or operational plan, including objectives, strategies, measures, and timelines.