Which of the Following Statements Is Correct Concerning the Elements

question 60

Multiple Choice

Which of the following statements is correct concerning the elements of cycle time?

• A) Move time is the time spent moving (1) raw materials from storage to production and (2) goods in process from factory location to another factory location.
• B) Inspection time is the time spent producing the product.
• C) Process time is considered non-value-added time.
• D) Wait time is considered value-added time.
• E) Cycle efficiency is the ratio of non-value-added time to total cycle time.

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Definitions:

Class A Spa

An upscale facility offering premium health and beauty treatments, differentiated by service, amenities, or exclusivity criteria.

Present Value

The worth at present of a sum of money expected in the future or of ongoing cash payments, when discounted at a specific rate of return.

Capital Cost Allowance (CCA)

A form of tax depreciation that allows a business to deduct the cost of a depreciable property, such as buildings or equipment, over a number of years.

Fixed Assets

Long-term tangible pieces of property or equipment that a firm owns and uses in its operations to generate income.