The production manager of a company, in an effort to gain a promotion, negotiated a new labor contract with the factory employees that required them to bear a greater percentage of benefit costs than before, thus bringing down the cost of direct labor to the company. Shortly afterward, several experienced and highly skilled workers resigned and were replaced by new employees whose work was very slow during their training period. At the end of the quarter, the company's profits fell 10%. This would produce a(n) ________.
A) favorable direct materials cost variance
B) unfavorable direct labor cost variance
C) unfavorable direct labor efficiency variance
D) favorable direct materials efficiency variance
C) unfavorable direct labor efficiency variance
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The character recognition code used to print identifying information on the front of a check is known as the Character Identifier
Indicate whether the statement is true or false
For a capital lease, the amount recorded initially by the lessee as a liability should
a. exceed the present value at the beginning of the lease term of minimum lease payments during the lease term. b. exceed the total of the minimum lease payments during the lease term. c. not exceed the fair value of the leased property at the inception of the lease. d. equal the total of the minimum lease payments during the lease term.
Base pay, any add-ons, and incentive pay are known as ______ compensation.
A. salary B. indirect C. direct D. equity
If I is the input rate and O is the output rate, what happens when I = O?
a. WIP decreases b. WIP increases c. WIP remains constant d. I and O are not related to the WIP