Use the direct plan to organize a bad-news message involving a small but significant matter
Indicate whether the statement is true or false
True
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Daget Corporation uses direct labor-hours in its predetermined overhead rate. At the beginning of the year, the total estimated manufacturing overhead was $364,140. At the end of the year, actual direct labor-hours for the year were 24,000 hours, manufacturing overhead for the year was overapplied by $8,060, and the actual manufacturing overhead was $359,140. The predetermined overhead rate for the year must have been closest to:
A. $15.43 per direct labor-hour B. $14.96 per direct labor-hour C. $15.17 per direct labor-hour D. $15.30 per direct labor-hour
Organizational members being reluctant to share sensitive information for fear that it may leak internally to colleagues is an example of which of the following?
a. advantage of internal consulting b. advantage of external consulting c. disadvantage of internal consulting d. disadvantage of external consulting
Which of the following approaches to behavioral strategic control would be the least appropriate for an organization in which there is a great need for innovation and a high degree of autonomy?
A. rules B. culture C. rewards D. incentives
Which of the following benefits does not occur when owner-shareholders accumulate earnings of their closely-held corporations at the entity level and later sell their stock at an increased value?
A. Increase in corporate capitalization and reduction in debt-equity ratio. B. Conversion of ordinary income into capital gain. C. Deferral of shareholder tax until the year of sale. D. All of the above occur.