Cross-Docking Processes Items as They Are Received, Rather Than Placing

question 35

True/False

Cross-docking processes items as they are received, rather than placing them in storage; this helps explain why "warehouses" are now called "distribution centers."

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Definitions:

Direct Labor-Hours

The cumulative number of hours put in by workers who are directly engaged in producing goods or delivering a service.

Manufacturing Overhead

Costs related to the production environment that cannot be directly tied to the finished product, such as maintenance expenses, and are necessary for the manufacturing process.

Underapplied Manufacturing Overhead

A scenario in which the overhead costs assigned to manufacturing are lower than the overhead expenses that were actually spent.

Allocation

Allocation involves distributing or assigning costs, resources, or revenues among various accounts, departments, or products based on specific criteria or formulas.