Apple Outsources the Production of IPads to Foxconn, a Contract

question 20

Multiple Choice

Apple outsources the production of iPads to Foxconn, a contract manufacturer with plants in China and Vietnam. Wages in China are higher than in Vietnam. The variable costs of manufacturing iPads in China would be ________ than Vietnam.

• A) Lower.
• B) Higher.
• C) Not enough information to answer.

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Definitions:

Power Factor Correction

Adding capacitance or inductance to a circuit to cause the current and voltage to become more in phase with each other.

Synchronous Condenser

A term used to describe a synchronous motor that is used to provide power factor correction.

Synchronous Speed

The speed at which the magnetic field in an AC machine rotates, typically in motors or generators, determined by the machine's electrical frequency and the number of magnetic poles.

Rotor Speed

The rotational speed of the rotor in a motor or generator, typically measured in revolutions per minute (RPM).