An Increase in the Quantity of a Product Supplied Is

question 73

True/False

An increase in the quantity of a product supplied is caused by an increase in the price of the product.

---

Definitions:

Conversion Costs

The combination of direct labor and manufacturing overhead costs incurred to convert raw materials into finished goods.

Equivalent Units

A concept in cost accounting used to allocate costs to partially completed goods, measuring them in terms of the amount of completed goods they represent.

Direct Materials

Raw materials that are directly traceable to the manufacturing of a product and are allocable to that product.

Job Order Manufacturing

A production system in which products are manufactured individually or in batches based on specific customer orders.