Which of the Following Is an Advantage of Buying a Used

question 46

Multiple Choice

Which of the following is an advantage of buying a used car rather than a new car?

• A) It will be in a good mechanical condition.
• B) It will depreciate more quickly.
• C) It will have more choices available.
• D) It will be less expensive.
• E) all of the above

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Definitions:

Direct Labor

Labor costs directly associated with the manufacture of products or provision of services, such as wages for assembly line workers.

Manufacturing Overhead

Manufacturing overhead includes all indirect costs associated with the production process, such as utilities, maintenance, and salaries of non-direct labor employees.

Ceramic Tile

A durable, hard flooring material made from clay that has been fired in a kiln, commonly used for floors, walls, and backsplashes.

Fixed Expense

An expense that does not change with the level of production or sales, such as rent, salaries, and insurance.