POB 4.03 Quiz

What is production?

• The creation of goods and services from economic resources

• Selecting inputs to make outputs

The specific resources used in a company’s production are called

• outputs

• inputs

In production, the purpose of the conversion process is to

• control the costs of production.

• turn inputs into outputs (products)

Outputs that are sold to producers who will use them to make other products are called industrial goods. Which of the following outputs is considered an industrial good:

• A freezer purchased by a restaurant owner

• A textbook purchased by a college student

"Efficient" production enables businesses to

• turn out the most products at the least cost.

• charge higher prices than competitors.

Which of the following outputs is considered an industrial good:

• A textbook purchased by a college student

• A freezer purchased by a restaurant owner

The production activity used to obtain all the resources needed for production to take place is

• purchasing

• scheduling

Which of the following products would be mass produced?

• Soft drinks

• hand-made scarves

Employees who are involved in production scheduling are responsible for

• estimating how long each step in production will take.

• obtaining the resources needed in production.

Which of the following is a follow-up activity in production:

• Estimating the number of steps in the production process

• Making sure that production deadlines were met