After Building a Prototype of His New Device, Brad Is

question 184

Multiple Choice

After building a prototype of his new device, Brad is asked to conduct rigorous functional testing to see if the device meets performance and safety qualifications. This is part of the ____ phase of the new-product development process.

• A) product design
• B) screening
• C) product development
• D) concept testing
• E) test marketing

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Definitions:

Activity Level

The volume of production or the degree of service activity which directly affects the amount of various costs incurred.

Fixed Cost

An expense that does not change with the level of production or sales over a short period.

Sales Commissions

The payment given to sales employees based on the amount of sales they generate, typically a percentage of the sale price.

Sales Volume

The amount of goods or services a company sells over a certain time frame.