Which of the Following Statements About Operations Management in the Service

question 199

Multiple Choice

Which of the following statements about operations management in the service sector is most accurate?

• A) Operations management in the service sector is all about providing the service at the lowest cost.
• B) Operations management in the service sector should focus on providing customers with a good experience.
• C) Operations management in the service sector has less flexibility than operations management in the manufacturing sector, because services are not technology driven.
• D) Operations management in the service sector has done a good job of increasing output, but a poor job of improving quality.

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Definitions:

Discount Rate

In the realm of discounted cash flow analysis, this interest rate is used to calculate the present value of expected future cash flows.

Payments

The process of transferring money in exchange for goods or services or as fulfillment of obligations.

Years

A unit of time equal to 365 days (or 366 in a leap year), used to measure duration or age.

Compounded Monthly

The process where interest earned on a loan or investment is calculated and added to the principal amount each month, facilitating growth in the investment or debt.