Which of the Following Scenarios Best Represents Outsourcing

question 45

Multiple Choice

Which of the following scenarios best represents outsourcing?

• A)the opening of a call centre for an North American credit card company in the Philippines
• B)a reduction in airport security staff when new surveillance equipment is installed
• C)the movement of a manufacturing facility from an urban centre to the urban-rural fringe
• D)the enrollment of unskilled labourers in trade schools

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Definitions:

Long-Term Liabilities

Long-Term Liabilities are financial obligations of a business that are due more than one year in the future, such as bonds payable or long-term loans.

Cost of Goods Sold

Cost of goods sold represents the direct costs attributable to the production of the goods sold by a company, including material and labor costs.

Beginning Inventory

The value of goods available for sale at the start of an accounting period.

Income Statement

A financial report that shows a company's revenues, expenses, and profits over a specific period, often a fiscal quarter or year.