Conclusions Differ from Recommendations in That Conclusions Suggest What Ought

question 49

True/False

Conclusions differ from recommendations in that conclusions suggest what ought to be done about the facts.

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Definitions:

Opportunity Costs

The value of the best alternative that is foregone when a different option is chosen.

Special Order

A one-time order that is not considered part of the company’s normal ongoing business.

Capacity

The maximum output that a business can produce in a given period with available resources.

Production Constraint

Any factor that limits the volume or type of production a company can achieve, such as equipment capacity or availability of materials.