Lavender Furniture Established Itself in 1965 as a Small Firm

question 22

Multiple Choice

Lavender Furniture established itself in 1965 as a small firm. It was situated on a small stretch of land located miles away from the town. Over the years, due to the high quality of its products, it acquires enough profits to own multiple assets, such as a bigger plot and machinery, recruit employees and establish itself as a brand. Which of the following is an element of the strategic management process that Lavender Furniture has acquired?

• A)Values
• B)Resources
• C)Capabilities
• D)Fame

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Definitions:

Direct Labor-Hours

The total hours worked by employees who are directly involved in the production of goods and services, often used for costing and efficiency analyses.

General Factory

refers to the overall operations and activities that take place within a manufacturing facility, including production, maintenance, and storage.

Activity Rate

This is the frequency or intensity with which a specific process or activity is conducted within a given time frame.

Activity-Based Costing

A costing methodology that assigns overhead and indirect costs to specific activities, enhancing the accuracy of product costing.