Assume That a Company Takes 3,500 Hours to Produce 10,000

question 82

Multiple Choice

Assume that a company takes 3,500 hours to produce 10,000 units of a product. What is the cycle time?

• A) 0.45 hour
• B) 1 hour
• C) 0.5 hour
• D) 3 hours
• E) 0.35 hour

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Definitions:

Own Capital

The value of the assets owned by a company or individual that are used in the production process or for investment purposes.

Short Run

A period in which at least one of a firm's inputs is fixed, limiting the firm’s ability to increase production.

Industry Entry

The act of beginning or entering into a specific market or field of business.

Accounting Profit

The net income for a company after all expenses have been deducted from total revenue, following standard accounting practices.