REQUIRED: For each of the following brief scenarios, indicate whether the HIGHEST ranking supervisor (in the scenario) acted in an appropriate manner and give reasons as to why or why not. Create a Microsoft Word document containing your responses to each scenario. Number your responses to correspond with the number of the respective scenario.

Here are the scenarios: 1. The purchasing manager for a firm had been bragging in the factory break room about the great deal that he got for the firm on some paper for the printing department of the organization. In the meantime, the manager of the printing department was discovering that the quality of the paper was inconsistent, and it was causing three times the normal amount of malfunctions of the printing equipment, resulting in extra labor usage and more than the usual waste of paper. The Vice-President of Production of this firm reviews the performance of each manager and support staff person at a group meeting of these people once every quarter. The Vice-President of Production, at the most recent meeting, praised the purchasing manager and criticized the manager of the printing department for their respective performances in keeping variances under control.

2. The Vice-President of Manufacturing at a major corporation recently issued a mandate that one unit per day from each assembly line in the organization must be pulled from the assembly line and subjected to destructive sampling to ensure the quality of all products being produced. The Paper Clip division produces 5,000 boxes of paper clips per day and gladly complied with the mandate. The Filing Cabinet division of the firm produces 15 filing cabinets per day. At this month's end-of-month review of division performance, the Vice-President criticized the Filing Cabinet division for the sudden 7% increase in materials and labor costs experienced and the sudden 6.5% drop in number of goods units of output from the amounts that the budget expected.

3. The Vice-President of Manufacturing notices that the manager of the Assembly Department has had an unfavorable direct labor variance of $40 to $80 for each of the past six months. The budgeted amount for direct labor in the Assembly Department each month is $50,000. The VP of Manufacturing assigns an administrative assistant from the VP's office to spend a full month on the Assembly Department work floor to try and discover the underlying cause of the variance.

4. A Vice-President of Manufacturing has recently fired the Department Supervisor for the Mixing Department for having a $15,000 unfavorable variance on the budget line item that deals with fixed factory overhead for the Mixing Department. The dismissed department supervisor attempted to explain that $12,667 of the $15,000 unfavorable variance was due to a recent property tax that went into effect on factory equipment used to mix environmentally sensitive materials, but to no avail. 5. For an annual budget review, the manager of a hospital's x-ray department went into the meeting feeling quite confident. All of the x-ray department's variances were favorable except for a minor unfavorable variance for materials that had been caused by a machine malfunction resulting in some ruined x-ray film. During the review, the manager's supervisor ignored the favorable variances and spent the entire time focusing on the unfavorable variance