A Technique for Assessing the Organization's Internal and External Environments

question 107

Multiple Choice

A technique for assessing the organization's internal and external environments in order to formulate strategy is called a

• A) BCG matrix.
• B) SWOT analysis.
• C) Benchmarking strategy.
• D) Diversification exercise.
• E) Functional strategy.

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Definitions:

Machine-Hours

The total hours that machinery is operating during a specific period, often used for allocating manufacturing overhead costs.

Predetermined Overhead Rate

An estimated rate used to assign manufacturing overhead costs to individual units of production.

Machine-Hours

A measure of the amount of time machines are operated, used as a basis for allocating manufacturing overhead costs in production.

Variable Manufacturing Overhead

Refers to the costs that vary with the level of production output, including items such as indirect materials and electricity to run machinery.