Which of the Following Is an Advantage of Having a Marketing

question 66

Multiple Choice

Which of the following is an advantage of having a marketing cooperative?

• A)Sellers get a steady supply of raw materials for their produce.
• B)Buyers get a steady supply of finished products.
• C)Sellers can save resources they would have spent on marketing and instead specialize in production.
• D)Buyers face lower risks of opportunism.

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Definitions:

Manufacturing Overhead

The indirect costs involved in making a product, excluding direct materials and direct labor expenses.

Predetermined Overhead Rate

A rate used to apply manufacturing overhead to products or job orders, computed in advance for each period.

Traditional Costing

An accounting method that allocates overhead costs to products based on a single, volume-based cost driver, such as direct labor hours.

Direct Labor-Hours

Represents the total hours worked directly on the production of goods.