Which of the Following Is a Step in the Preparation

question 26

Multiple Choice

Which of the following is a step in the preparation of a production cost report?

• A) assignment of costs to units completed and units in process
• B) summarization of the flow of physical units to the suppliers
• C) computation of expected units of production
• D) computation of amount of materials required for production

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Definitions:

Monopolistic Competition

A market structure in which many firms sell a differentiated product, entry is relatively easy, each firm has some control over its product price, and there is considerable nonprice competition.

Market Structure

The characteristics of an industry that define the likely behavior and performance of its firms. The primary characteristics are the number of firms in the industry, whether they are selling a differentiated product, the ease of entry, and how much control firms have over output prices. The most commonly discussed market structures are pure competition, monopolistic competition, oligopoly, pure monopoly, and monopsony.

Product Development

The process of bringing a new product or service to the market, which includes ideation, design, development, testing, and launching.

Differentiation

The process by which companies distinguish their products or services from others in the market to create a perceived value and gain a competitive edge.