In the Process of Operations Management, a Firm Transforms Resources

question 78

True/False

In the process of operations management, a firm transforms resources such as raw materials, supplies, and even human resources into goods and services.

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Definitions:

Raw Materials Inventory

The total cost of all the raw materials that are currently held by a company and intended for production.

Standard Costs

Pre-determined or estimated costs of products, labor, and materials or overhead for a particular period under normal conditions.

Kilos

A unit of measure equal to one thousand grams, commonly used worldwide to measure weight.

Cost System

A method or procedure adopted by a business to collect, classify, allocate, and report costs associated with its operations.