Which of the Following Is a Characteristic of Continuous Flow

question 69

Multiple Choice

Which of the following is a characteristic of continuous flow systems?

• A) They produce customized products and services.
• B) They do not keep an inventory of finished products or offer standardized services.
• C) They have relatively large volumes of similar products flowing through similar stages of the operating system.
• D) They result in higher unit costs than the intermittent flow systems.
• E) They include special-order fabrication shops, hospitals, advertising agencies, and dental offices.

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Definitions:

Agriculture

The practice of cultivating the land and raising livestock for food, fiber, and other products.

Economic Profits

The earning surplus after all forms of expenses, direct and indirect, are deducted from total earnings.

Purely Competitive

A market structure characterized by a large number of small firms, homogeneous products, and free entry and exit, leading to price taking behavior.

Marginal Costs

The upsurge in full cost that comes from the generation of one additional unit of a good or service.