In the Context of Operations Management,which of the Following Is

question 54

Multiple Choice

In the context of operations management,which of the following is true of the transformation process?

• A)It focuses on producing outputs that are less worth than the combined costs of the inputs.
• B)It occurs in all organizations,regardless of what they produce or their objectives.
• C)It occurs only in manufacturing companies because they use tangible inputs.
• D)It involves replacing quality with productivity when manufacturing goods.
• E)It includes the same methods and number of steps in all organizations.

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Definitions:

Profit-maximizing

The process of adjusting the production and sale of goods and services to achieve the highest possible profit.

Marginal Product

The additional output gained by adding one more unit of a specific input, holding all other inputs constant.

Marginal Revenue Product

The additional revenue generated from employing one more unit of a resource, such as labor or capital.

Variable Input

An input whose quantity can be changed in the short term by a firm to adjust the level of output.