What Effect Would a Decrease in Wage Rates (Applicable to Direct,strictly

question 18

Multiple Choice

What effect would a decrease in wage rates (applicable to direct,strictly variable,labor) have on the break-even point and the contribution margin?
Break-even Point Contribution Margin

• A)Increase Increase
• B)Increase Decrease
• C)Decrease Increase
• D)Decrease Decrease

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Definitions:

Job Specialization

The process of focusing one's occupational concentration on a specific area of expertise, making the individual more adept at a particular task.

Motivator-Hygiene Theory

The Motivator-Hygiene Theory, proposed by Frederick Herzberg, suggests that job satisfaction and dissatisfaction arise from two different sets of factors: motivators, which can create job satisfaction, and hygiene factors, which can prevent dissatisfaction but not necessarily create satisfaction.

Job Content

The specific tasks, responsibilities, and duties that make up a particular job.

Working Conditions

The environment in which an individual works, including aspects such as safety, amenities, workload, and physical conditions.