To Gain a Productivity Advantage from Digital Technology, It Is

question 8

Multiple Choice

To gain a productivity advantage from digital technology, it is important to ________.

• A)make sure that you have the latest version of the technology
• B)multitask whenever possible
• C)convert the time saved into productive activity such as saving money
• D)increase the volume on your e-mail and instant messages alerts

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Definitions:

Direct Material

Raw materials that can be physically and directly associated with the finished product during the manufacturing process.

Indirect Material

Materials used in the production process but not directly traceable to a finished product, such as lubricants for machinery.

Operating Leverage

A measure of how revenue growth translates into growth in operating income, indicating the proportion of fixed versus variable costs a company has.

Safety Margin

The difference between the actual sales and the break-even point; it measures the amount by which sales can drop before a business incurs a loss.