Which Statement About Industry Is FALSE

question 10

Multiple Choice

Which statement about industry is FALSE?

• A) The West did not benefit from the industries that sprang up from the Cold War.
• B) By the mid-1950s, white-collar workers outnumbered blue-collar factory and manual laborers.
• C) The unions' success in raising wages inspired employers to mechanize more and more elements of manufacturing in order to reduce labor costs.
• D) Since the 1950s, the American economy has shifted away from manufacturing.

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Definitions:

Relevant Cost

Costs that should be considered when making a decision because they will affect the future and they differ among alternatives.

Old Equipment

Tangible assets previously used in operations, possibly obsolete or near the end of its useful life.

Segmented Income Statement

A financial report that separates a company's operations into divisions, regions, or other segments to analyze performance individually.

Fixed Expenses

Consistent costs that do not change in total over a short period, regardless of the level of production or sales.