Consider the Following Work Breakdown Structure

question 50

Multiple Choice

Consider the following work breakdown structure:
What is the estimated slack time for activity D?

• A) 0 days
• B) 30 days
• C) 40 days
• D) 50 days
• E) 100 days

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Definitions:

Fixed Cost

Any cost that does not depend on the firms’ level of output. These costs are incurred even if the firm is producing nothing. There are no fixed costs in the long run.

Marginal Costs

Marginal Costs involve the additional expenses incurred from the production of one extra unit of a product or service.

Total Variable Cost

the sum of all costs that vary with the level of production, such as materials and labor directly involved in manufacturing.

Total Fixed Costs

The sum of all consistent, non-variable expenses a company must pay, regardless of its level of production.