The Marketing and Production Teams of a Manufacturing Firm Are

question 92

Multiple Choice

The marketing and production teams of a manufacturing firm are debating about which goal the firm should focus on.While the former supports maximizing sales revenue,the latter supports minimizing production costs.Both teams have the information needed to facilitate the course of action they support.As a consequence of this debate,the two teams decided to form a coalition.Which of the following decision-making methods have the teams adopted?

• A)The rational choice method
• B)The political method
• C)The subjective method
• D)The incremental method

---

Definitions:

Financial Advantage

A benefit in economic terms that positions an entity in a more favorable financial situation than others.

Surplus Material

Excess materials that are not required for current production needs and may be sold or reused in future projects.

Purchased Lots

Refers to parcels or quantities of goods acquired by a company, often used in reference to real estate or bulk purchases of inventory.

Relevant Cost

Costs that will be affected by a decision and will have an impact on the future.