Which of the Following Is an Example of an Overhead

question 28

Multiple Choice

Which of the following is an example of an overhead in a company?

• A) Cost of maintaining a vending machine in the break room
• B) Cost of instruments needed for production
• C) Basic salary paid to every employee
• D) Bonus amounts paid to the higher-level management

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Definitions:

Research And Development (R&D)

The investigative activities a business conducts to improve existing products and procedures or to lead to the development of new products and procedures.

Diminishing Returns

A principle in economics that states after a certain point, the addition of a factor of production results in smaller increases in output.

Incremental Changes

Small, step-by-step modifications made to improve a process, product, or service over time.

Idea Generation

The creative process of generating, developing, and communicating new concepts or solutions.