To Ensure That a Newly Designed Product Moves Smoothly to the Production

question 54

Multiple Choice

To ensure that a newly designed product moves smoothly to the production stage,____ could be used.

• A) JIT
• B) computer-aided design
• C) postaction control
• D) computer-assisted manufacturing
• E) flexible manufacturing systems

Understand the impact of government interventions such as price ceilings on market equilibrium, consumer surplus, and producer surplus.

Comprehend the effects of price ceilings and minimum wage laws on different market participants.

Analyze the consequences of changes in market supply and demand elasticity on surplus.

Interpret graphical representations of market models to identify areas representing consumer and producer surplus, as well as deadweight loss.

---

Definitions:

Markup

An amount added to the cost price of goods to cover overhead and profit.

Absorption Costing

An accounting method that includes all direct costs and an allocated portion of fixed and variable overhead costs in the cost of a product.

Cost-plus Pricing

Setting the price of a product by adding a markup to its variable costs to ensure a margin of profit.

Return on Investment

A financial ratio used to calculate the profitability of an investment, representing the percentage return on the invested amount.