The Dictionary Defines Equilibrium as a Situation in Which Forces

question 72

Multiple Choice

The dictionary defines equilibrium as a situation in which forces

• A)are in balance.
• B)are the same.
• C)clash.
• D)remain constant.

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Definitions:

Unused Capacity

Resources available for use that are not being employed in production, often representing inefficiency.

Estimated Activity

An approximation of the level of effort, production volume, or usage that forms the basis for budgeting and costing activities.

Activity at Capacity

Refers to the maximum level of work that an organization can achieve with its current resources and constraints.

Predetermined Overhead Rate

An estimated overhead rate used to assign manufacturing overhead costs to products or job orders, based on a planned activity level.