<u>Solution and Explanation:</u>
Answer 1 <u>Calculation of activity rate is as follows:
</u>
<u>Stamping</u> = Budgeted costs divided by Machine tour
= $200000 / 10000 = $20 machine hour
<u>Assembly</u> = Budgeted costs divided by Labor hour
= $400000 divided by 20000 = $20 labor hour
<u>Setup</u> = Budgeted costs divided by setup
= 30000 / 15 = 2000 setup
Answer 2 <u>Overhead cost per unit = Total overhead cost divided by total units produced
.</u>
Saws = $452 per unit
Drills = $673 per unit
Answer:
C. Separating Management from Ownership
Explanation:
What is Agency
The agency refers to contractural, quasi-contractual and non-contractual fiduciary relationships which represents two to three parties. The first is a person called the agent, the second is the principal and the final is a third party. Agency authorizes an agent to act on behalf of the principal and create binding relatinships with a third party.
Agency Conflict
Agency conflict represents a conflict of interest which is unavoidable in an agency relationship where one party is to act in the best interest of the other party. Specifically, in the business or corporate settings, the agency conflict arises when there is a conflict of interest between an organisation's management and the owners of the organisation.
The challenge is that management who is the agent is expected at all times to make decisions that will constantly maximize the wealth of the owners and at times, these decisions would conflict with management's ability to maximize its own wealth
Therefore, once the management of an organisation is separated from ownership especially in a Management/ shareholders relationship, an agency conflict could arise.
Answer: The efficient outcome is to have the security system installed. After the meeting the security system will <em><u>be installed</u></em>, which illustrates the <em><u>free rider problem.</u></em>
Free rider is the burden on resource which is been shared, the problem is created by its usage or over-exploitation by individual who aren't paying their fair share.
∴ Here Tom is a free rider. i.e. He is willing to pay $100 where he should've paid $250.
Answer:
The correct answer is 1. communications.
Explanation:
Project Communications Management includes the processes required to ensure that the generation, collection, distribution, storage, retrieval, and final disposal of project information are adequate and timely. Project managers spend most of their time communicating with team members and others interested in the project, whether they are internal (at all levels of the organization) or external to it. Effective communication creates a bridge between the different stakeholders involved in a project, connecting different cultural and organizational environments, different levels of experience, and diverse perspectives and interests in the implementation or outcome of the project.
