Manager who subscribe to Theory X believe that people are naturally lazy and uncooperative and therefore must either be rewarded or punished to be made productive to achieve the target.
Theory X and theory y are two theories of human motivation and management created by Douglas McGregor based on the works of Abraham Maslow and demonstrate opposing models of workforce motivation. Theory X works on the assumption that the typical worker is unambitious, selfish, uncooperative and avoids responsibility, unintelligent, lazy, and that their main motivation is a steady income.
Managers who employ these assumptions tend to use a reward/punishment system as a motivator and expect increased efficiency with a hands-on approach. Under this type of management, individuals are more likely to directly receive a negative or positive outcome and are considered to be most effective in a workforce with low-performance motivation. A workplace that involves assembly lines or manual labor is ideal for this managerial style.
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When your doing an interview never ask how much money do you make that will make them think that your there just for the money and not the job
Answer:
Cost to make $337,600
Cost to make $344,400
The company should make the product
Explanation:
Calculation to determine the total incremental cost of making 84,000 and buying 84,000 units
COST TO MAKE
Relevant per unit Relevant fixed cost Total relevant cost
Variable cost per unit $2.90 - $243,600(84000*$2.90)
Fixed manufacturing costs - $94,000 $94,000
Cost to make $337,600
($243,600+$94,000)
COST TO BUY
Relevant per unit Relevant fixed cost Total relevant cost
purchase per unit $4.10 - $344,400[$4.10*84000]
Cost to make $344,400
Based on the above calculation the cost of buying is higher than the cost of making therefore the company should MAKE the product.
