_____ Influences Decisions Regarding What Activities and Technologies a Company

question 22

Multiple Choice

_____ influences decisions regarding what activities and technologies a company should concentrate its investment and managerial resources in (in relation to its competitors in the industry) .

• A)Relative advantage
• B)Absolute cost advantage
• C)Comparative advantage
• D)Competitive advantage
• E)Sourcing advantage

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Definitions:

Work in Process

Inventory that includes all the materials, labor, and overhead costs for products that are in the production process but not yet complete.

FOH Budget Variance

is the difference between the budgeted factory overhead costs and the actual overhead costs incurred.

FOH Volume Variance

A measure used in accounting to describe the difference between the budgeted and actual volume of production, affecting fixed overhead costs.

Standard Cost Variances

Differences between the actual costs incurred and the standard costs that were expected or budgeted, used for budget control and financial analysis.