____ Refers to Focusing Part of One's Supply Chain on a Timely

question 15

Multiple Choice

____ refers to focusing part of one's supply chain on a timely response to fluctuating customer orders and/or product variety and another part of the supply chain on leveling out the planning requirements to smooth production output.

• A) supply chain management
• B) flexibility
• C) responsiveness
• D) leagility

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Definitions:

Materials Price Variance

The difference between the actual cost of materials used in production and the standard cost of those materials.

Direct Materials

Raw materials that are directly traceable to the finished product and constitute a significant part of its costs.

Variable Overhead Spending Variance

The difference between actual variable overhead costs incurred and the expected (standard) costs based on the actual level of production activity.

Fixed Overhead Spending Variance

The difference between the actual and budgeted fixed overhead costs incurred during a period.