The Production Manager of a Company Was Experiencing High Defect

question 20

Multiple Choice

The production manager of a company was experiencing high defect rate on the assembly line, which was slowing production and causing wastage of valuable materials. He decided to purchase a higher grade of material which would be more reliable, but he was worried that the cost of the new material might negatively impact operating income. This situation could have produced which of the following variances?

• A) Favorable materials price variance
• B) Unfavorable labor price variance
• C) Unfavorable labor efficiency variance
• D) Favorable materials efficiency variance

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Definitions:

Selective Perception

The process by which individuals perceive what they want to in media messages while ignoring opposing viewpoints.

Ethnic Minority

A group within a country or society that is distinguished from the majority by cultural, religious, linguistic, or racial characteristics, and often experiences differential treatment or marginalization.

Media

The various means of mass communication considered collectively, including television, radio, newspapers, and the internet, that disseminate information or entertainment to the public.

Racial Purity

A controversial and debunked concept often used to justify discriminatory practices, suggesting that certain races should remain "pure" and not intermix with others.