Comparing Labor Supply and Demand Forecasts to Identify Future Talent

question 55

Multiple Choice

Comparing labor supply and demand forecasts to identify future talent needs is called __________.

• A) talent inventory
• B) trend analysis
• C) succession planning
• D) gap analysis

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Definitions:

Average Fixed Cost

The cost incurred for fixed inputs (rent, salaries) divided by the quantity of output produced, which decreases as production increases.

Variable Cost

Costs that vary directly with the level of production or output, such as materials and labor, in contrast to fixed costs.

Total Cost

The complete sum of all expenses incurred by a business or individual in producing a good or service.

Fixed Cost

Costs that do not vary with the level of production or sales, such as rent, salaries, or insurance premiums.