Services Differ from Manufactured Goods in Which of the Following

question 96

Multiple Choice

Services differ from manufactured goods in which of the following ways?

• A)Service output is more easily measured.
• B)Services tend to be produced and consumed simultaneously.
• C)Service output is generally more tangible.
• D)Service providing requires a lower degree of customization than does manufacturing.

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Definitions:

Present Value

The current valuation of a future financial sum or stream of payments, factoring in a set rate of return.

Interest Rate

A lender demands a fee, represented as a percentage of the principal, from a borrower for asset utilization.

Payment

is the transfer of money or goods from one party to another in exchange for goods, services, or to fulfill a legal obligation.

Future Value

The value of an asset or cash at a specified date in the future that is equivalent in value to a specified sum today.