Seven Cycles Creates ________ in Its Creation of Customized Bikes

question 174

Multiple Choice

Seven Cycles creates ________ in its creation of customized bikes for its customers in 40 countries.

• A) time utility
• B) form utility
• C) place utility
• D) possession utility
• E) possession and place utility

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Definitions:

Job-Order Costing System

An accounting system that accumulates costs for each individual job or project, useful in custom manufacturing environments.

Predetermined Overhead Rate

An estimated rate used to allocate manufacturing overhead costs to individual products or job orders, based on a certain activity base.

Machine-Hours

A measure of production output or activity based on the number of hours machines are operated in the manufacturing process.

Job-Order Costing System

An accounting method used to accumulate and assign costs to custom or unique products or jobs.