In Order to Increase the Ratio of Outputs to Inputs

question 50

Multiple Choice

In order to increase the ratio of outputs to inputs, a manager would have to __________.

• A) decrease the selling price
• B) increase productivity
• C) increase the cost of the input
• D) hire additional employees
• E) use additional materials

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Definitions:

Net Pay

The amount of money received by an employee after all deductions have been made from the gross salary.

FICA Tax

Federal Insurance Contributions Act tax, which funds Social Security and Medicare, required to be paid by both employees and employers.

Federal Income Tax

A charge imposed by the United States federal government on the yearly income of individuals, corporations, trusts, and other legal bodies.

Withholding Allowance

Withholding allowance is an exemption that reduces how much income tax an employer deducts from an employee's paycheck, based on the number of allowances claimed.