Multidivisional Structure Is Effective in Coordinating Diverse ________ Activities

question 21

Multiple Choice

Multidivisional structure is effective in coordinating diverse ________ activities.

• A) employee
• B) product
• C) geographic
• D) economic

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Definitions:

Variable Overhead

Costs that vary with production volume, including such expenses as indirect materials, supplies, and utilities for the production process.

Efficiency Variance

A measure in cost accounting used to assess the difference between the actual input used in production and the standard input expected to be used, for cost control purposes.

Direct Labour Hour

A measure of labor directly involved in manufacturing or production, calculated by the amount of time workers spend on specific tasks.

Fixed Overhead

Costs that do not change with the level of production or sales activities, such as rent, salaries, and insurance.