The Unused Capacity Variance Is

question 8

Multiple Choice

The unused capacity variance is

• A)the difference in costs between activity availability and activity usage.
• B)the difference in costs between actual activity level acquired and the value-added standard quantity of activity that should have been used.
• C)the difference in costs between practical capacity of activity and the standard capacity of the activity.
• D)none of these.

Understand the concepts of pay grades, pay ranges, and the significance of market positioning (lead, match, lag).

Identify various legislative attempts to address compensation disparities.

Comprehend the role of skill-based pay systems and their impact on employee compensation.

Understand the concept and purpose of job evaluations in organizations.

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Definitions:

Marginal Costs

The swelling of total charges resulting from generating an extra unit of a good or service.

Elasticity of Market Supply

An indicator of the extent to which the supply of a product varies following a price adjustment.

Marginal Cost Curves

A graphical representation that shows how the cost of producing one more unit of a good or service varies as production increases.

Market Supply Curve

A graphical representation showing the total quantity of a good or service that suppliers are willing and able to sell at different prices.