Managerial Accounting (15th Edition)

Published by McGraw-Hill Education
ISBN 10: 007802563X
ISBN 13: 978-0-07802-563-1

Chapter 1 - Managerial Accounting: An Overview - Exercises - Page 20: Exercise 1-2

Answer

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Work Step by Step

I would be disheartened/disappointed/ annoyed if the boss yelled at me, considering that there are fifty more pieces of luggage than were budgeted for. This scenario demonstrates that the airline needs a control system where feedback is collected. The feedback system would look at factors like the total pieces of luggage and the total time spent unloading all pieces. The feedback mechanism would ensure adjustments depending on the available pieces. The time allocated for unloading should be proportional to the number of [pieces. A control mechanism would eliminate the need for bosses to shout at those in charge of offloading. There are circumstances whereby there will be more than 100 pieces of luggage. Bosses should be alive to this fact instead of shouting at the offloading workers. The number of pieces of luggage varies from one trip to another. So a feedback mechanism would ensure that unrealistic expectations are not imposed on offloading workers regarding the time they should take to offload all packages.
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