________ Is a Measure of Economic Performance That Compares How

question 169

Multiple Choice

________ is a measure of economic performance that compares how much is produced relative to the resources used to produce it.

• A) Re-engineering
• B) Services
• C) Total quality management
• D) Productivity
• E) Quality

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Definitions:

Break-even Sales

refers to the amount of revenue needed to cover all fixed and variable costs, at which point a business neither makes a profit nor incurs a loss.

Absorption Costing

A technique in accounting that rolls all manufacturing expenses including direct material costs, direct labor, and every overhead, regardless if fixed or variable, into the overall cost of a product.

Unit Product Cost

The overall expense involved in creating one unit of a product, encompassing direct materials, direct labor, and distributed overhead costs.

Absorption Costing

An accounting method that includes all manufacturing costs (both variable and fixed) in the cost of a product.