Refer to the Scenario Below to Answer the Following Questions

question 56

Multiple Choice

Refer to the scenario below to answer the following questions.
General Administrative Theory at Tidy Tilda's (Scenario)
Penny owns Tidy Tilda's, a housecleaning service. She has been in operation for more than three years and has a steady client list which she hopes to expand as she tries to grow the business. She has ten cleaners who work for her on various assignments five days a week. The way she has structured the operation is that for each assignment, cleaners work in pairs, and for the occasional big job, in threes. Majority of her clients are homeowners, but occasionally she gets a bigger contract from offices and other businesses. The assignments usually take one day and the cleaners report into the office in the morning and at the end of their shift. For the occasional big job, which might take up to three days and three or four cleaners, Penny negotiates different terms. Penny's management style and techniques follow closely Fayol's principles of management as she aspires to build an adaptable organization.
-Alice, one of the most senior cleaners, has come to Penny complaining about working with the new cleaners. She wants to go on the assignments alone and asks Penny to approve this just for her. Penny makes a decision to refuse Alice's request because this would __________________.

• A) not be in the interests of the other employees
• B) cost more money in the long run on higher salary for Alice
• C) send a negative message to the customers
• D) undermine any line of authority in the company
• E) hinder any future personnel planning

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Definitions:

Machine-Hours

A measure of production output or activity based on the number of hours machines are operated within a specified period.

Unused Capacity

Unused capacity refers to the resources or facilities available to a company that are not currently being used to their full potential, which can impact efficiency and profitability.

Income Statement

A financial statement that shows a company's revenues and expenses over a specific period, leading to its net income or loss.

Plantwide Predetermined

A single overhead rate calculated for an entire production facility based on estimated costs and activity levels.