Which of the Following Is a Consequence of Using Flexible

question 112

Multiple Choice

Which of the following is a consequence of using flexible machine cells?

• A)It fails to adapt to the production of different products.
• B)It generally results in stockpiles of partly finished products.
• C)It improves capacity utilization and reduces wastes.
• D)It increases setup time for complex equipment.
• E)It adds to the cost structure of a firm.

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Definitions:

Labor

The human effort, including physical and mental skills, employed in the production of goods and services within an economy.

Demand

The desire accompanied by the ability to pay for goods or services, determining the quantity that will be bought at a given price level.

Marginal Revenue Product

The additional revenue generated from the sale of one more unit of a good or service produced as the result of one more unit of an input.

Wage Rate

The fixed amount of compensation or payment received by an employee from an employer in exchange for work or services performed.