Which of the Following Elements of the Factor Weighting Technique

question 115

Multiple Choice

Which of the following elements of the factor weighting technique in supplier selection analysis does NOT contain a certain degree of subjectivity?

• A) the formula used to calculate the total weighted score for each supplier
• B) the weights applied to each supplier criterion
• C) the scores for each potential supplier on each criterion
• D) the set of supplier criteria
• E) the numerical scale used to rate suppliers

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Definitions:

Labour Hours

Refers to the total amount of work time spent by employees, including both direct and indirect labor activities.

Facility-sustaining Activities

Costs and activities associated with maintaining a manufacturing or production facility at an operational status, independent of the actual levels of production.

Batch-level Activities

Operations and tasks performed for a group of units produced as a single batch, costing is aggregated at the batch level.

ABC

Activity-Based Costing, a method of allocating costs to products or services based on the resources they consume.