Within an Organizational Structure,the Person Most Likely to Be Evaluated

question 151

Multiple Choice

Within an organizational structure,the person most likely to be evaluated in terms of controllable costs would be:

• A)A payroll clerk.
• B)A cost center manager.
• C)A production line worker.
• D)A maintenance worker.
• E)A sales representative.

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Definitions:

Intra-entity Gross Profit

The profit made from transactions between divisions or units within the same company before external sales.

Inventory Costing

The method used to assign costs to inventory, including approaches such as FIFO, LIFO, and weighted average cost.

Equity Method

An accounting technique used to record investments in other companies, where the investment's value is adjusted based on the investor's share of the investee’s profits or losses.

Merchandise

Goods that are purchased, held, and then sold by a business with the intention of making a profit.