Increasing the Efficiency of Necessary Activities by Using Economies of Scale

question 72

Multiple Choice

Increasing the efficiency of necessary activities by using economies of scale is known as

• A) activity inputs.
• B) activity sharing.
• C) control activities.
• D) cycle time.

Appreciate the impact of cross-cultural considerations in informal assessment procedures.

Identify the importance of interrater reliability.

Examine the practicality concerns associated with various assessment techniques.

Understand the role and construction of different rating scales.

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Definitions:

Cash Basis

An accounting method where revenues and expenses are recorded when cash is received or paid, respectively.

External Reporting

The process of providing financial statements and other pertinent information to outside entities, such as investors, creditors, and regulatory agencies.

Profit Margin

A financial metric indicating the percentage of revenue that exceeds the cost of goods sold, showing how much profit a company makes on sales.

Net Income

The sum a company holds as profit once it has subtracted expenses and taxes from its aggregate revenue.