Cycle Time Is the Ratio of the Time That a Resource

question 45

True/False

Cycle time is the ratio of the time that a resource is actually activated relative to the time that it is available for use.

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Definitions:

Work In Process

Goods that are in the process of being manufactured but are not yet complete. It's a stage between raw materials and finished goods inventory.

Standard Cost Variances

The differences between the actual costs incurred and the standard costs for producing a good or service.

Cost Of Goods Sold

Directly attributable expenses in the making of products sold by a business, encompassing materials and labor.

Materials Quantity Variance

The variance between the real amount of materials consumed in the manufacturing process and the anticipated standard amount, measured at the standard expense.