In Labor-Intensive Industries, the Most Serious Threat Faced by Low-Cost

question 30

Multiple Choice

In labor-intensive industries, the most serious threat faced by low-cost competitors is ________.

• A) increased use of technology
• B) increased public awareness of questionable labor practices
• C) increased product efficiency
• D) increased competition

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Definitions:

Departmental Overhead Rates

Rates calculated to allocate overhead costs to specific departments based on their activities or output.

Machine Hours

A measure of production time used in manufacturing, indicating the total hours a machine is operated.

Oak Paneling

Oak paneling refers to wall or ceiling covering material made from oak wood, prized for its durability, appearance, and texture.

Unit-Level

Activities or costs that vary with each unit of production, such as materials and direct labor.