Continual Process of Measuring a Company's Own Products,services or Activities

question 27

Multiple Choice

Continual process of measuring a company's own products,services or activities against competitors' performance is

• A)performance measure
• B)benchmarking
• C)budgeting
• D)responsibility center
• E)lean accounting

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Definitions:

Increasing-Cost Industry

An industry in which costs of production increase as output is increased, often due to factors like limited resources or higher input prices.

LRAC Curve

Stands for Long-Run Average Cost curve, which shows the lowest average cost of producing different levels of output when all inputs, including capital, are variable.

Entry

The act of beginning or entering into a particular sphere or market, often used in the context of firms entering an industry.

MC of Production

The additional cost incurred by producing one more unit of a good or service, often denoted as marginal cost.