Applying the Concept Answers

Applying the Concept 14-1: Types of Control

Identify the type of control used or required as

A. preliminary
B. concurrent
C. rework
D. damage

1. As quality inspector Amita tried to start the lawn mower, it would not start.
C. Rework. The mower needs to be fixed before shipping.

2. The manager, Sayeed, just got a new laptop computer, and one of the keys on the keyboard doesn’t work.
D. Damage. The laptop most likely will be exchanged, or possibly fixed.

3. In two weeks, the Christmas shopping season begins, and Richard is scheduling employees’ hours.
A. Preliminary. The manager is planning for the future staffing needs.

4. Coach Lee’s basketball team is behind at halftime, so he is sending in some new players.       
B. Concurrent. The monthly budget report is used during the budget period to control spending.


Applying the Concept 14-2: Frequency and Methods of Control

Identify the one primary method of control.


A. self
B. clan
C. standing plans


D. regular meetings and reports
E. budgets
F. audits


G. observation
H. the exception principle
I. special reports
J. project

5. “June, have you completed the monthly inventory check yet?”
F. Audit. A monthly check makes it periodic, and checking the amount of inventory is an audit.

6. “Kenny, I know I’m not manager of our team, but we really need you to pick up the pace if we are going to ship this order out on time.”
B. Clan. The team is an ongoing group, and the person is using clan, or some peer pressure to get Kenny to work faster.

7. “I don’t know what happened, Helen. All of a sudden, the thing just jammed, and I can’t fix it.”
H. Exception principle. Jams can happen occasionally. An unexpected problem has come up so the employee is seeking help to fix it.

8. “Jamal, with this amount of money for the year, it is going to be difficult to operate my department at full capacity.”
E. Budget. The amount of money for the year is a budget.

9. “Brianna, I’m putting you in charge of hiring and overseeing the general contractor to renovate the office.”
J. Project. Renovating happened occasionally and are projects.

10. The manager Deondre placed his desk facing the employees.
G. Observation. The manager’s desk is facing the employees to provide occasional observation.

11. The lawyer Tinna is in court, and her assistant is working alone in the office.
A. Self. The assistant is working alone without the boss to impose controls.

12. The manager Bonita got her monthly operations performance statement.
D. Regular meetings and reports. The operations performance report comes monthly.

13. The manager Tyson is talking to an employee to find out why the shipment is behind schedule.
I. Special reports. The employee was asked by the boss to explain the problem.

14. Signs are posted stating that goggles must be worn in the department.
C. Standing plans. The signs stating that helmets must be worn are giving a “rule.”


Applying the Concept 14-3: Guidelines for Effective Discipline

Identify which guideline is being followed—or not being followed—in the following statements. Use the guidelines in Exhibit 14-8 as the answers.

15. “Katrina, as a new employee, you need to learn the rules and regulations. The computer program will teach them to you and give you a test to make sure you understand them.”
A. Communicate standing plans. Rules and regulations are standing plans.

16. “Now that I’ve been disciplined, Sam will give me the silent treatment for about a week.”
H. When discipline is over, resume normal relations. Giving the silent treatment is not getting back to normal.

17. “That punishment isn’t fair, Joe; you shouldn’t dock my pay for coming in late once.”
B. Punishment should fit the crime. The employee is stating that the punishment is too severe for the offense.

18. “Chris, come into my office so that we can discuss your behavior.”
F. Discipline in private. In the manager’s office, others will not hear the discipline.

19. “Tony must have been really mad to yell that loudly at Hank for making that mistake.”
E. Discipline immediately, but stay calm and get all the necessary facts before you discipline. It is best to stay calm and not to yell.

20. “Our manager Nancy comes back from break late all the time; why can’t I?”
C. Follow the standing plans yourself. The boss breaks the rules but expects others not to.

21. “When I leave the place a mess, Henry reprimands me. But when attractive Erica does it, nothing is ever said to her.”
D. Take consistent, impartial action when the rules are broken. The boss is playing favorites.

22. “Sandy gave me a verbal warning for being late for work, and she made me sign a form. The form is now in my permanent record file.”
G. Document discipline. The note is documentation of the discipline.