Levi's Japan Has a Website That Caters to Those Looking

question 184

Multiple Choice

Levi's Japan has a website that caters to those looking to tailor their own denim, allowing customers to choose from different cuts (502 regular wide, 505 regular wide, 517 boot cut) , coloration (dark used, mid used) , button and rivet colors (gold, silver, bronze) , inseam length, and extra treatments (sanding, paint drips) . From start to delivery takes about a month. This describes one example of why consumers shop and shop and buy online, which is

• A) control.
• B) cost.
• C) choice.
• D) customization.
• E) convenience.

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Definitions:

Absorption Costing

In this accounting method, total costs of manufacturing, from direct materials and labor to both fixed and variable overheads, are completely absorbed into the product’s final cost.

Variable Costing

Variable costing is a cost accounting method that includes only variable production costs—direct materials, direct labor, and variable manufacturing overhead—in product cost calculations, excluding fixed overhead costs.

Production Costs

Expenses directly related to the creation of goods and services, including materials, labor, and overhead costs.

Fixed Production Costs

Costs that do not change with the level of production, such as rent, insurance, and salaries.