A Production Method That Relies on Large Quantities of Machines

question 9

Multiple Choice

A production method that relies on large quantities of machines and equipment and smaller quantities of labor is referred to as a:

• A)variable-input-intensive method of production.
• B)labor-intensive method of production.
• C)technology-intensive method of production
• D)capital-intensive method of production.

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Definitions:

Activity Cost

The expenses incurred by a company to perform specific activities, such as manufacturing a product or delivering a service.

Product Engineer

A professional who designs, develops, and improves products while ensuring they meet manufacturing, cost, and marketing requirements.

Activity Costs

Activity costs refer to the expenses associated with specific activities within a company, such as production, administration, or distribution, used in activity-based costing.

Setup Activity

The tasks involved in preparing equipment or processes for a new production run or activity, often considered in activity-based costing.