Any Improvement in Overall Production Technology That Permits More Output

question 310

Multiple Choice

Any improvement in overall production technology that permits more output to be produced with the same level of inputs causes

• A) a movement up the supply curve resulting in both a higher equilibrium price and quantity.
• B) a rightward shift of the supply curve so that more is offered at each price.
• C) no movement of the supply curve, but a fall in price and a decrease in quantity supplied.
• D) a leftward shift of the supply curve so that less is offered for sale at each price.

Distinguish between different allocation bases and their appropriateness for specific products or services.

Evaluate the performance of departments using allocated costs.

Classify departments as either support or production departments.

Understand the rationale behind selecting cost allocation methods based on the manufacturing process or support service provided.

---

Definitions:

Timing

The selection of an appropriate or opportune moment to execute an action, often critical in contexts such as market entry, product launches, or investments.

Markdowns

Reductions in the selling price of goods, often to clear old stock or boost sales.

Valuable Selling Space

Prime retail or commercial area within a store or market that is strategically used to display and sell products to maximize customer purchases.

Markdown

A reduction from the original or listed price of a product, often to clear inventory or stimulate sales.