When It Comes to Learning More About Starting and Running

question 3

Multiple Choice

When it comes to learning more about starting and running a small business, which of the following best describes available sources?

• A) It is a good idea to avoid advice from business owners who have recently failed.
• B) Reliable sources of information are disappointingly scarce.
• C) The best approach is to get hands-on experience by working at least seven years for someone else in the field before starting your own business.
• D) Canada Business Network, industry associations, blogs, and websites are only a few of the many sources that are available.

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Definitions:

Machine-Hours

The total number of hours that a machine is in operation, used as a basis for allocating manufacturing overhead costs related to machinery.

Job-Order Costing

A cost accounting system that accumulates costs for each distinct job or batch, used in situations where products or services are distinctly customizable.

Selling Price

The amount of money charged for a product or service, or the sum for which something is sold on the market.

Unit Product Costs

Unit product costs are the total expense incurred to produce, store, and sell one unit of a product, including material, labor, and overhead rates.