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11-1 Assume that the company is reluctant to fire workers in the circuit department even if they are not really needed. (After all, they have just...

11-1 Assume that the company is reluctant to fire workers in the circuit department even if they are not really needed. (After all, they have just worked hard to improve productivity.) Given the production improvements and the institution of new standards, explain why the circuit department has an incentive to overproduce (i.e., produce more output than can be handled by the case department). (Hint: If the circuit department does not overproduce, what will be the effect of the process improvements on the labor efficiency variance?)


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