_____ and _____ Is the Essence of Business Organizations

question 50

Multiple Choice

_____ and _____ is the essence of business organizations.

• A)Products; services
• B)Operations; supply chain management.
• C)HR; accounting.
• D)Services; operations.
• E)Product design; strategic management.

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Definitions:

Unit Product Cost

The total cost (both fixed and variable) associated with producing a unit of product, including direct materials, direct labor, and manufacturing overhead.

Absorption Costing

A pricing strategy that incorporates all expenses associated with production - including raw materials, workforce wages, and both fluctuating and constant factory overheads - into a product's cost.

Period Cost

Expenses directly tied to time that are not directly tied to the production process, such as administrative expenses.

Variable Costing

A costing method that includes only variable production costs (direct materials, direct labor, and variable manufacturing overhead) in product costs.