Which of the Following Is Not an Example of a Business-Value-Added

question 36

Multiple Choice

Which of the following is not an example of a business-value-added activity?

• A) Adopting bar-code technology in the receiving department.
• B) Installation of a computerized human resource management module.
• C) Shortening the customers' billing cycle.
• D) Addition of an employee hotline for workplace complaints.
• E) Final painting and polishing of the product.

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Definitions:

Costs and Revenues

The expenses incurred and the income earned by a business during a specific period, influencing profitability.

Excess Capacity

The amount by which the actual production capabilities of a company exceed the current demand for its products or services.

Special Order

A one-time order that is not part of the company's usual ongoing operations, often requiring special pricing or terms.

Incremental Revenues

Additional income generated from a new action or decision, above and beyond the existing baseline revenue.