Throughput Contribution Equals Ss

question 53

Multiple Choice

Throughput contribution equals ss.sales revenue less direct materials cost.

• A)sales revenue less product costs.
• B)direct material plus direct labor.
• C)direct material plus traceable manufacturing overhead.

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Definitions:

Flexibility

Flexibility in a business context refers to the ability to adapt quickly to changes in the market or operational conditions, maintaining efficiency and meeting customer demands.

Supply Chain

The network of individuals, organizations, resources, activities, and technology involved in the creation and sale of a product, from supplier to customer.

Capacity

Capacity refers to the maximum level of output that a company can sustain to produce a product or service, considering available resources.

Inventory

The goods and materials that a business holds for the ultimate goal of resale, production, or utilization.