Joe Is Restructuring Departments and Is Creating Teams to Increase

question 54

Multiple Choice

Joe is restructuring departments and is creating teams to increase the effectiveness of his departments. He recognizes that the size of groups impacts their overall behavior.


-Given what Joe knows about groups, what is a good size for a group that must take action?

• A) 4
• B) 7
• C) 9
• D) 12
• E) over 12

---

Definitions:

Manufacturing Overhead

All indirect costs associated with the production process, such as utilities, maintenance, and manager salaries.

Product Margins

The difference between the selling price of a product and the cost to produce it, reflecting the profitability of each product sold.

Machine-Hours

A measure used in accounting to allocate manufacturing overhead costs, representing the total hours that machines are operated in the production of goods.

Number of Batches

The total count of groups or sets of items processed or produced together in a manufacturing or production process.