Standard Times Can Be Used to Measure Performance of Individual

question 47

Multiple Choice

Standard times can be used to measure performance of individual workers. If a worker fails to match the standard time, the company should do what?

• A) put the worker on probation
• B) ignore the situation
• C) change the standard time
• D) provide training to improve the worker's performance
• E) fire the worker

---

Definitions:

Purchases

The acquisition of goods or services in exchange for money, constituting a component of a company’s inventory costs.

LIFO Liquidation

A process that occurs when a company using the Last In, First Out (LIFO) inventory method sells older inventory, which may result in unusual increases in profit due to lower costs of older inventory.

Beginning of the Year

Refers to the starting date of a financial or calendar year, used as a reference point for accounting and financial planning.

Inventory Level

The quantity of goods or materials on hand at any given time within a business.