There Are Three Consecutive Steps in a Customer Service Process

question 33

Multiple Choice

There are three consecutive steps in a customer service process.The first two steps are each capable of serving 25 customers per hour while the third step can process only 20 customers per hour.Which of the following statements regarding this system is TRUE?

• A)The entire system is capable of processing 25 customers per hour.
• B)There are floating bottlenecks in the system.
• C)If the first two steps are run at full capacity,then the third step has a waiting line.
• D)The first and second steps are bottlenecks for the system.

---

Definitions:

Job-Order Costing

A costing methodology that calculates the cost of individual jobs or batches, useful in manufacturing or service industries where jobs are distinct and have varying requirements.

Automated Shaper

A machine tool that uses computer control to shape or cut materials with precision, often used in manufacturing.

Gross Margin

The difference between sales revenue and the cost of goods sold before deduction of selling, general, and administrative expenses.

Job-Order Costing

A costing method that accumulates costs based on individual jobs or orders, suitable for businesses producing unique or custom products.