The Development of a New Good or a New Process

question 203

Multiple Choice

The development of a new good or a new process for making a good is called

• A)an innovation.
• B)an invention.
• C)a factor of production.
• D)a service.

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Definitions:

Production Departments

Sections within a manufacturing facility where the actual production or assembly of goods takes place.

Activity-Based Costing

A method of accounting that assigns costs to products based on the amount of resources they consume.

Overhead Costs

Expenses related to the operation of a business that are not directly tied to a specific product or service.

Support Activity Costs

Costs incurred by activities that do not directly produce a product or service but are essential to the organization's operation, such as HR and IT.