Development of New Computer Software That Increases Productivity Is an Example

question 156

Multiple Choice

Development of new computer software that increases productivity is an example of:

• A) human capital.
• B) physical capital.
• C) production technology.
• D) technical knowledge.

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Definitions:

Predetermined Overhead Rate

A rate used to allocate overhead costs to products or services, calculated before the costs are incurred based on estimated costs and activity levels.

Direct Labor-Hours

The total hours worked by employees that are directly involved in the production of goods or the provision of services.

Machine-Hours

A measure of the amount of time machines are operated in the manufacturing process, often used to allocate overhead costs.

Forming Department

A manufacturing sector focused on shaping or structuring materials into their desired forms.