The Waste of Overproduction Is Defined as ______________________

question 125

Multiple Choice

The Waste of Overproduction is defined as ______________________.

• A) The unnecessary movement of people and equipment
• B) The liability of materials that are bought, invested in and not immediately sold or used
• C) Producing more than the next step needs or more than the customer buys
• D) The extra movement of material

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Definitions:

Activity Rates

Charges or costs associated with specific business activities, used in costing and budgeting.

Activity Levels

Various stages of business operations ranging from high to low, impacting costs and revenues.

Activity-Based Costing (ABC)

A costing method that assigns overhead and indirect costs to related products and services based on the activities that drive those costs.

Overhead Rates

The method used to allocate indirect costs to produced goods, often calculated as a ratio of overhead to direct labor hours, direct labor costs, or machine hours.