FP II Unit 2 2.03/2.04

When employees are given independence and expected to be more self-sufficient, they become more efficient over time. This should lead to:

• increased supervision

• increased productivity

• incrased ethical behavior

• increased employee turnover

When employees are treated as an asset and their input is valued, confidence increases among every team member, which greatly improves:

• employee ethics

• employee morale

• employee training

• employee productivity

When a company wants to convey what is acceptable and unacceptable regarding the quality of its product, it will develop:

• instructions

• policies

• standards

• tasks

When a company wants to convey what is acceptable and unacceptable regarding the quality of its product, it will develop:

• guideline

• policy

• recommendation

• statement

General, nonmandatory business procedures are:

• guidelines

• policies

• recommendations

• statements

When deciding whether to issue a policy or a guideline, a business should consider the:

• level of risk

• corporate culture

• number of employees

• complexity of the company

When a new employee gets step-by-step instructions on how to carry out a task, it is called:

• policies

• procedures

• recommendations

• standards

When a new employee gets step-by-step instructions on how to carry out a task, it is called:

• guidelines

• instructions

• policies

• task

To balance the balance sheet, assets must equal:

• liabilities.

• income.

• equity plus income.

• liabilities plus equity

Which is a requirement for a good accounting system?

• It should be updated annually.

• It should provide needed information quickly.

• It should eliminate the need for an accountant.

• It should be replaced every two or three years.