Productivity Is Defined as the

question 55

Multiple Choice

Productivity is defined as the

• A)amount of goods and services produced from each unit of labour input.
• B)number of workers required to produce a given amount of goods and services.
• C)amount of labour that can be saved by replacing workers with machines.
• D)actual amount of effort workers put into an hour of working time.

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Definitions:

Purchases

The total cost of goods acquired by a company for resale or use in production during an accounting period.

Freight-In Account

An accounting term for the cost of transporting goods into a business, which is part of the cost of goods sold.

Income Summary

An account in the ledger that is used during the closing process to collect all the temporary account balances before transferring the net result to the capital account.

Purchases

The acquisition of goods or services by a company for use in its operations or for resale.