Productivity Is ________ If We Produce the Same Output with More

question 8

Multiple Choice

Productivity is ________ if we produce the same output with more labour hours.

• A)increasing
• B)not changing
• C)decreasing
• D)proportional

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Definitions:

Net Operating Income

The total profit of a company after operating expenses but before subtracting interest and taxes.

Direct Labor Cost

The cost associated with the work of employees who are directly involved in the manufacturing of products.

Absorption Costing

A method of inventory costing in which all costs of manufacturing are included in the cost of goods sold, including direct materials, direct labor, and both variable and fixed manufacturing overhead.

Unit Product Cost

The cost assigned to a single unit of product, encompassing all expenses directly and indirectly involved in its production.