The Feasibility Check of a Sales and Operations Plan (SOP)is

question 114

True/False

The feasibility check of a Sales and Operations Plan (SOP)is rough-cut capacity planning.

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Definitions:

Fixed Costs

Costs that do not change with the level of output or sales, such as rent, salaries, and loan payments.

Annual Fixed Costs

Expenses that do not change over a year regardless of the level of production or sales.

Variable Costs

Costs that vary directly with the level of production or sales, such as materials and labor.

Fixed Costs

Costs that do not vary with the level of output or production, such as rent, salaries, and equipment costs.