All of the Following Are Reasons That Remanufactured Engines Are

question 21

Multiple Choice

All of the following are reasons that remanufactured engines are bought and installed rather than the original engine repaired EXCEPT ____.

• A) cost
• B) time
• C) severe damage to old engine
• D) transmission type

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Definitions:

Fixed Costs

Fixed costs are expenses that do not change with the level of production or sales, such as rent and salaries.

Variable Costs

Costs that vary in total in direct proportion to changes in the level of activity or volume of output produced.

Constraint

A limitation or restriction that affects an organization's ability to achieve its objectives, such as limited resources or time.

Production Bottleneck

A point in the manufacturing process where the demand for a company’s product exceeds the ability to produce the product. Also referred to as a constraint.