A Generic Market

question 176

Multiple Choice

A generic market

• A) competitor might have only a tiny market share in the generic market but a large share in its product-market.
• B) often includes consumers who will satisfy the same need in quite different ways.
• C) often involves sellers who compete in different product-markets.
• D) All of the above are true.
• E) None of the above is true.

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Definitions:

Direct Materials Price Variance

The cost associated with the difference between the actual price and the standard price of direct materials multiplied by the actual quantity of direct materials used in producing a commodity.

Direct Materials

Raw materials that are directly traceable to the manufacturing of a product and constitute a significant portion of the production cost.

Direct Materials

Raw materials that can be directly traced back to the production of specific goods or services.

Standard Costs

Predetermined costs of manufacturing a single unit or a number of units during a specific period under normal conditions.