Which of the Following Is Most Likely to Occur If

question 38

Multiple Choice

Which of the following is most likely to occur if a centralized ingredient room is used?

• A) When a recipe calls for 25 pounds of ground beef and the ground beef comes in 10-pound tubes, either 20 or 30 pounds of the ground beef will be used to prepare
• That recipe so that no ground beef is wasted.
• B) Food items will taste differently depending on which cook prepared them because the cooks will have access to spices, thus can season food items to their taste.
• C) Production costs can be reduced because less skilled employees will be used to do preparation activities.
• D) A significant portion of a cook's time will be spent collecting and weighing ingredients for a recipe.

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Definitions:

Economic Profit

The profit a firm makes after subtracting both its explicit (out-of-pocket) and implicit (opportunity) costs.

Total Costs

The aggregate amount of all expenses associated with the production of a good or service, including both fixed and variable costs.

Implicit Costs

These are the costs of using resources owned by the company for production that aren't directly paid for or incurred as a clear expense.

Explicit Costs

Direct payments made to others in the course of running a business, such as wages, rent, and materials.