Which of the Following Is an Example of an External

question 17

Multiple Choice

Which of the following is an example of an external proposal?

• A) An employee's email persuading his superiors to choose his team over an external agency for a particular project
• B) An email from the head of one company to another proposing to share resources on similar projects
• C) An email from an employee to his manager stressing the requirement for additional labor from external agencies for a project
• D) An email from the HR manager of technology firm to their finance department containing the pay structure of new employees
• E) A memo from an employee to her manager requesting for Six Sigma training

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Definitions:

Variable Costing

An approach in accounting that takes into account only the variable aspects of production costs (such as direct materials, direct labor, and variable manufacturing overhead) in the computation of product prices.

Net Operating Income

Net Operating Income is a measure of a company's profitability from its regular business operations, excluding income and expenses from interest, taxes, and other non-operational activities.

Fixed Manufacturing Overhead

Regular, constant expenses related to the production process that are not affected by the level of goods produced, such as rent and salaries of management.

Ending Inventory

The total value of all inventory that a company still has on hand at the end of a reporting period.