Bev Owns and Operates City Delivery Service as a Sole

question 20

Multiple Choice

Bev owns and operates City Delivery Service as a sole proprietorship. When she dies, the business will automatically

• A) dissolve.
• B) transfer to Bev's heirs.
• C) reform with its employees as the owners.
• D) transfer to its creditors.

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Definitions:

Machine-Hours

A measure of production time, indicating the total hours that machines are operational within a set period.

Overhead Cost

Expenses related to the day-to-day operations of a business that aren't directly tied to the production of goods or services.

Materials Handling

The moving, protecting, storing, and controlling of materials and products throughout manufacturing, warehousing, distribution, consumption, and disposal.

Material Moves

The process of transferring physical materials from one location to another within a manufacturing or distribution facility.