Span of Control Is a Key Element of an Organization's

question 75

Multiple Choice

Span of control is a key element of an organization's structure. Which of the following key questions is addressed by this element?

• A) On what basis will jobs be grouped together?
• B) To whom do individuals and groups report?
• C) To what degree will there be rules and regulations to direct employees and managers?
• D) How many individuals can a manager efficiently and effectively direct?
• E) To what degree are activities subdivided into separate jobs?

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Definitions:

Variable Overhead Rate Variance

The difference between the actual variable overhead costs incurred and the standard cost allocated, indicating inefficiencies or cost control issues.

Favorable

A term used in accounting to describe a situation where actual costs are less than the budgeted or standard costs.

Unfavorable

A term used in variance analysis to describe a variance that leads to a decrease in profit compared to budgeted or standard costs.

Fixed Manufacturing Overhead

The portion of total manufacturing overhead costs that does not vary with the level of production or output.