An Assembly Drawing

question 78

Multiple Choice

An assembly drawing:

• A) shows, in schematic form, how the product is assembled.
• B) shows an exploded view of the product.
• C) lists the operations, including assembly and inspection, necessary to produce the component with the material specified in the bill of material.
• D) provides detailed instructions on how to perform a given task.
• E) describes the dimensions and finish of each component.

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Definitions:

Fixed Manufacturing Cost

Expenses that do not change with the volume of production, such as rent, salaries, and insurance costs related to manufacturing facilities.

Relevant Range

The range of activity within which the assumptions about fixed and variable cost behaviors hold true.

Variable Cost

Costs that vary directly with the level of production or service provision, such as materials, labor, and utilities consumed in the production process.

Total Variable Cost

The sum of all costs that vary directly with the level of production or output, including materials and labor.