Managers Can Use Equity Theory to Do Which of the Following

question 70

Multiple Choice

Managers can use equity theory to do which of the following?

• A) Determine which employees would benefit from having a goal.
• B) Improve worker satisfaction.
• C) Match reward to performance for each individual employee.
• D) Determine which employees are not working efficiently.

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Definitions:

Standard Cost System

An accounting system that uses cost estimates for materials, labor, and overhead to control costs and assess operational efficiency.

Fixed Manufacturing Overhead

Payments that remain unchanged no matter the volume of production or sales, including rents, staff remuneration, and insurance agreements.

Work in Process Inventories

Goods that are in the production process but have not yet been completed.

Fixed Overhead Budget Variance

The difference between the actual fixed overhead costs incurred and the budgeted or expected fixed overhead costs.