Which of the Following Is NOT One of the Ways

question 28

Multiple Choice

Which of the following is NOT one of the ways the Internet is lowering transaction costs?

• A) eliminating supply chain intermediaries
• B) minimizing office expenses
• C) evaluating employee performance
• D) reducing business travel

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Definitions:

Personnel Costs

Expenses related to the compensation and benefits of employees, including wages, salaries, bonuses, and fringe benefits.

Volume-based Cost Driver

A factor that causes the cost of an activity or resource to increase, directly related to the volume of production or service delivery.

Indirect Manufacturing Costs

Expenses related to the production process that cannot be directly attributed to specific units of product, such as utilities, maintenance, and factory supervision.

Automation

The technology by which a process or procedure is performed with minimal human assistance.