Which of the Following Statements Concerning the Operations Management Decision

question 61

Multiple Choice

Which of the following statements concerning the operations management decision is relevant to services?

• A) There are many objective quality standards.
• B) The customer is not involved in most of the process.
• C) The work force's technical skills are very important.
• D) Labor standards vary depending on customer requirements.
• E) Ability to inventory may allow the leveling of the output rates.

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Definitions:

Purchases

The total amount spent on goods and materials bought for resale or use in production during an accounting period.

Perpetual

A system of inventory management where records are updated immediately following a sale or purchase of goods.

Merchandise Inventory

The total value of a business's commodities or goods available for sale to customers at any given time.

Accounts Payable

The amount owed by a business to its suppliers or creditors for goods and services received but not yet paid for.