A New Factory Manager Was Hired for a Company That

question 18

Multiple Choice

A new factory manager was hired for a company that was experiencing slow production rates and lower production volumes than demanded by management.Upon investigation,the manager found that the workers were poorly motivated and not closely supervised.Midway through the quarter,an incentive program was initiated,and cash bonuses were given when workers hit their production targets.Within a short time,production output increased,but the bonuses had to be charged to the direct labor budget.This could produce a(n) ________.

• A) unfavorable direct materials cost variance
• B) unfavorable direct materials efficiency variance
• C) favorable direct labor efficiency variance
• D) favorable direct labor cost variance

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Definitions:

Relaxation Training

A therapeutic technique aimed at teaching individuals how to reduce stress and anxiety through various relaxation methods.

Biofeedback Training

A technique that teaches individuals to improve their health by controlling certain bodily processes that normally happen involuntarily, such as heart rate or blood pressure.

Meditation

A practice of concentrated focus upon a sound, object, visualization, the breath, movement, or attention itself, to increase awareness of the present moment, promote relaxation, and enhance personal and spiritual growth.

Hypnosis

A hypnotic state characterized by concentrated focus, diminished awareness of surroundings, and an elevated receptivity to suggestions.