The Build-Measure-Learn Feedback Loop Begins with Identifying Which Hypotheses to Test

question 32

True/False

The build-measure-learn feedback loop begins with identifying which hypotheses to test and ends with requiring the entrepreneur to take a look at the results and determine whether a pivot is required.

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Definitions:

Labor Per Unit

The amount of labor cost assigned to each unit of production.

Direct Labor

The wages of employees or workers who are directly involved in the production of goods or services.

Direct Materials Quantity Variance

The difference between the actual quantity of materials used in production and the standard amount expected, multiplied by the standard cost per unit.

Standard Materials Cost

The pre-determined cost of materials that should be consumed under efficient operating conditions.