Which of the Following Is an Operational Decision--Rather Than a Strategy

question 224

Multiple Choice

Which of the following is an operational decision--rather than a strategy decision?

• A) A decision to seek distribution only through the best retailers.
• B) Selection of a specific target market.
• C) A decision to maintain a "one price" policy.
• D) Selection of a specific cable TV channel on which to advertise.
• E) All of these are good examples of operational decisions.

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Definitions:

Work in Process Inventory

Goods partially completed during the manufacturing process, not yet ready for sale.

Underapplied Overhead

A situation where the allocated overhead cost is less than the actual overhead incurred, leading to a discrepancy in accounting records.

Cost of Goods Sold

The expenses directly related to the manufacturing of goods a company sells.

Overapplied

Refers to a condition where the amount of costs allocated or applied to goods or services exceeds the actual costs incurred.