Fredrick's Manufacturing Business Is Finding It Difficult to Compete with a Business

question 147

Multiple Choice

Fredrick's manufacturing business is finding it difficult to compete with a business that is comparable in size and makes a similar product.He has increased the number of his salesmen to contact potential clients,has a bank that gives him a better interest rate on his line of credit,and utilizes the benefits of day-light-savings time to adjust the lighting in the plant,but these actions seem to be inefficient to make his business competitive.With the facts given,which of the following would be most helpful in improving productivity at his business?

• A) He should utilize lean manufacturing.
• B) He should invest more money in equipment.
• C) He should try to satisfy customer needs with quality goods and services.
• D) He should lobby the government to change policies to ensure unreasonable regulations will stop hindering productivity.

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Definitions:

Assets

Resources owned by a company from which future economic benefits are expected to flow to the company.

Deferred Expenses

Assets created when purchased in the past before being used to generate revenues; need to be adjusted at the end of the period to reflect the amount of expense incurred by using the assets over time.

Assets

Resources owned or controlled by a business, entity, or individual, which are expected to produce economic value or future benefits.