All of the Following Statements Are True EXCEPT

question 25

Multiple Choice

All of the following statements are true EXCEPT:

• A)a standard differential allows one wheel to rotate if it begins to slip.
• B)a limited slip differential locks the spider gears when one wheel starts to lose traction.
• C)if there are 10 teeth on the pinion gear and 33 teeth on the ring gear, the ratio is 5.30:1.
• D)when torque is applied to the clutch pack, the side gear locks to the case, causing the wheel on that side to be driven.

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Definitions:

Target Costs

The desired cost of a product for which a company aims in order to achieve a desired profit margin after considering the selling price and required profit.

Markup Percentage

The percentage added to the cost price of goods to cover overhead and profit.

Product Cost

Refers to the total cost incurred to produce goods or services, including raw materials, labor, and overhead expenses.

Selling and Administrative Costs

Expenses related to the sales process and overall management of a company, excluding production costs.