The Methodology of P/OM Was First Developed by and for Service,but

question 42

True/False

The methodology of P/OM was first developed by and for service,but is has now been extended to manufacturing with great success.

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Definitions:

Time-Driven Activity-Based Costing

A costing method that assigns resource costs directly to products or services based on precise measurements of how much time is needed for specific activities.

Order Fulfillment Department

The division within a company responsible for processing and delivering orders to customers, ensuring product delivery aligns with customer expectations.

Capacity Analysis

The evaluation of a company's ability to meet its production goals with the available resources and facilities.

Time-Driven Activity-Based Costing

A costing method that estimates the costs of resources used in business activities, based on the time those activities take and the rate at which resources are consumed.