Which of the Following Is an Advantage of a Chase

question 26

Multiple Choice

Which of the following is an advantage of a chase production strategy (as compared to a level plan) ?

• A)Low investment in equipment.
• B)High inventory carrying cost.
• C)Lower inventory investment.
• D)Less investment in employee training.

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Definitions:

Net Private Domestic Investment

The total amount spent by businesses and firms in the economy on capital goods, minus depreciation.

Depreciation

The process of allocating the cost of a tangible asset over its useful life, reflecting the asset's consumption, wear and tear, or obsolescence.

Gross Private Domestic Investment

The total amount of private domestic investment in physical assets such as buildings, machinery, and equipment by businesses and individuals within a country.

Income Approach

A method of calculating GDP by adding up all incomes within the economy, including wages, interest, profits, and rents.