Which of the Following Should Be Considered While Implementing the ERP

question 6

Multiple Choice

Which of the following should be considered while implementing the ERP application?

• A)compare as-is model to blueprint processes
• B)convert to new procedures
• C)model current processes "as-is"
• D)identify relevant ERP blueprint processes

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Definitions:

Absorption Costing

An accounting method that includes all manufacturing costs, both fixed and variable, in the cost of a product.

Variable Costing

A costing method that includes only variable production costs—direct materials, direct labor, and variable manufacturing overhead—in unit product costs.

Excess Capacity

The amount by which the actual production of a company exceeds its planned production capacity.

Variable Production Costs

Expenses that change in direct proportion to the level of production output.