Business Midterm

Which of the following best expresses the relationship between sales and profits?

Sales revenue − expenses = profit

As a scheduler, Grace is concerned with the sequence of workstations through which the materials will flow. This is called _______.

routing

By holding focus groups with employees, Joaquin of Sunset Airlines is addressing which aspect of total quality management?

Employee participation

A factory system of manufacturing involves the separation of a manufacturing process into separate tasks and the assignment of different tasks to different employees.

False

Command economies include capitalism, socialism, and communism.

False

The four resources that a business must use to operate successfully include material resources, human resources, financial resources, and operational resources.

False

The term magnitude is used to describe the number of production processes that are used to produce products or services.

False

Machines are used for almost all the work involved with fabricating computer chips. These manufacturers are best described as _______ companies.

automated

The Kidde Company has five of its ten products nearing the end of their product life cycle. To survive, the firm must at least find ways to _______.

extend or refine the want-satisfying capability of its products

The cost of running out of inventory is referred to as a holding cost.

false

Oscar is in charge of making sure the raw steel brought into his company's factory is turned into high-quality bearings for sale to customers. Oscar is a(n) _______ manager.

operations

In a work boot manufacturing plant, all boots undergo the same operations in the same sequence. The boots flow from one workstation to the next. This is a(n) _______ layout.

product