The Fixed Budget Performance Report of Boston Associates for the Year

question 13

Multiple Choice

The fixed budget performance report of Boston Associates for the year ended 30 June 2019 shows budgeted manufacturing costs of $540 000 and actual manufacturing costs of $570 000. The unfavourable variance of $30 000 must have been due to:

• A) cost factors.
• B) poor budgeting.
• C) lack of supervision of workers.
• D) cannot be determined from the information provided.

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Definitions:

Outsource

The practice of contracting with an external party to perform services or create goods that were traditionally done by internal staff or resources.

Safety Issues

These are concerns related to the health, well-being, and security of individuals in various environments, including the workplace.

Injured Workers

Employees who have suffered a work-related injury or illness, often covered by workers' compensation programs.

First Six Months

The initial period of time (usually referencing employment or project start) crucial for setting the foundation and expectations.