Which of the Following Statements Is Not True

question 8

Multiple Choice

Which of the following statements is not true?

• A)Time and billing systems are similar to job order costing systems
• B)Time and billing systems are an important component of an AIS for manufacturing firms
• C)A difficult problem for professional service organizations Ris tracking staff time
• D)Time and billing systems are important in the professional service industry

---

Definitions:

Production Capacity

The maximum amount of goods or services that a manufacturing facility can produce over a given period under normal conditions.

External Financing

Funds raised from outside the company, typically through borrowing or selling equity.

Dividend Payout

Dividend payout refers to the portion of a company's earnings distributed to shareholders as dividends.

Profit Margin

A financial metric used to assess a company's profitability by calculating the percentage of revenue that exceeds the costs of goods sold.