The Amount of Time It Takes to Develop a Product

question 52

Multiple Choice

The amount of time it takes to develop a product and have it available for sale is

• A)order visibility.
• B)time to market.
• C)product returnability.
• D)response time.

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Definitions:

Direct Labor Hours

The total hours of labor spent by workers who are directly involved in the manufacturing process of a product.

Overapplied Manufacturing Overhead

Occurs when the allocated amount for manufacturing overhead costs exceeds the actual overhead costs incurred.

Raw Materials

Raw materials are the basic, unprocessed inputs used in the manufacturing of goods, including items like minerals, chemicals, or agricultural products essential for production processes.

Factory Overhead Applied

The allocation of all indirect costs of manufacturing to the actual production, aiding in the determination of the total cost of production.