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Business Essentials (9th Edition) - Chapter 7 - Test Bank £8.18   Add to cart

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Business Essentials (9th Edition) - Chapter 7 - Test Bank

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Fundamentals of Business UNR1302 is a course in AASTMT. The textbook is Business Essentials (9th Edition). This is Chapter 7 from the test bank of the book.

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  • February 27, 2023
  • 71
  • 2022/2023
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1. Firms that make only tangible products are engaged in goods production.


*A) True
B) False


2. In a low-contact system, the customer must be a part of the system to receive
the service.


A) True
*B) False


3. A firm's capacity depends on both how many people it employs and the
number and size of its facilities.


*A) True
B) False


4. If parts A, B, and C must be produced this week, a detailed schedule will
indicate the sequence of work.


*A) True
B) False


5. Quality improvement teams are groups of employees from various work areas
who define, analyze, and solve common production problems.


*A) True
B) False


1

,6. ISO 9000 is a certification program attesting to the fact that a factory,
laboratory, or office has improved its environmental performance.


A) True
*B) False


7. Each stage in the supply chain adds value for the final customer.


*A) True
B) False


8. By turning raw materials into finished goods, production creates form utility.


*A) True
B) False


9. When a company turns out ornaments in time for Christmas, it creates time
utility.


*A) True
B) False


10. Services are more tangible, more customized, and more storable than most
products.


A) True
*B) False



2

,11. Getting a haircut and having your lawn mowed are both examples of
low-contact services.


A) True
*B) False


12. A company typically selects the kind of production used by most of its
competitors.


A) True
*B) False


13. In a same-steps layout, equipment and people are set up to produce one type
of good in a fixed sequence of steps and are arranged according to its production
requirements.


*A) True
B) False


14. An assembly line is an example of a custom-products layout.


A) True
*B) False




3

, 15. A process flowchart identifies the sequence of production activities,
movements of materials, and work performed at each stage of the process.


*A) True
B) False


16. Staff schedules identify which products will be produced and when.


A) True
*B) False


17. Materials management involves the flow of materials inside of the production
facility, while distribution management involves the flow of finished goods.


A) True
*B) False


18. Just-in-time (JIT) production systems normally require large amounts of
"safety stock" to be maintained in a firm's warehouse.


A) True
*B) False


19. Japanese companies adapted the concept of quality circles from quality
improvement teams used by U.S. companies.


A) True
*B) False


4

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