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Material prices jumped from about $2.50 per unit in Feb to $3 per unit in...

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Accounting

Material prices jumped from about $2.50 per unit in Feb to $3 per unit in Mar, but due to good cost control I was able to hold our material cost to less than $3 per unit for the month said Gary, the production manager of the Mixing plant in a Syrup making company. Should Gary be rewarded for good cost control? Explain. How should production managers be compensated?

*Note this question is from a managerial accounting paper.

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