The Proration Method of Disposing of Overhead Variances Assigns the Variance

question 12

Multiple Choice

The proration method of disposing of overhead variances assigns the variance in proportion to the sizes of the ending account balances to

• A) WIP and finished goods inventory.
• B) cost of goods sold and WIP inventory.
• C) direct materials and WIP inventory.
• D) cost of goods sold, WIP and finished goods inventory.

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Definitions:

Emotional Interpersonal Conflict

A type of conflict that arises from emotional differences and personal incompatibilities between individuals.

Cross-functional Teams

Teams composed of members from different departments or areas of expertise, working together towards a common goal.

Intergroup Conflict

Refers to tensions and disputes that occur between different groups, often stemming from competition for resources, differing values, or misunderstandings.

Emotional Interpersonal Conflict

Situations where personal disagreements or friction between individuals are driven by emotions, potentially affecting relationships.