Which of the Following Is a Difference Between Component Parts

question 60

Multiple Choice

Which of the following is a difference between component parts inventories and work-in-process inventories?

• A) Unlike component parts inventories, work-in-process inventories include goods that are sent to distribution centers.
• B) Raw materials are fabricated or processed into component parts inventories, whereas work-in-process inventories are a result of the assembly of component parts.
• C) The process involved in creating work-in-process inventories is also known as initial assembly, whereas the process involved in creating component parts inventories is also known as final assembly.
• D) Unlike component parts inventories, work-in-process inventories can be purchased from vendors.

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Definitions:

Competitive Advantage

A condition or unique attribute that allows a company to outperform its competitors, securing a superior position in the market.

Market Opportunity

The identification of a specific market need that can be met by a new product or service, offering potential for business growth.

Sole Proprietor

A business owned and run by one individual where there's no legal distinction between the owner and the business entity.

Scalability

The capability of a system, business model, or product to handle a growing amount of work or to be enlarged to accommodate that growth.