Because Atkinson Corp. did not receive the raw material it ordered on a timely basis, management was forced to close its production facility for one week. This time is Idle time &emsp; Non-value-added time &emsp; Business-value-added time
A) yes &emsp; no&emsp; no
B) No &emsp; no &emsp; no
C) yes &emsp; yes &emsp; yes
D) no &emsp; yes &emsp; yes
E) Yes &emsp; yes &emsp; no

Question

Quizplus · Accepted Answer

Idle time refers to periods when production is not occurring due to factors outside of normal operations, such as delays in receiving materials. It is considered non-value-added time because it does not contribute to the production of goods or services but is a consequence of inefficiencies or external factors. It is not business-value-added time because it does not enhance the product or service from the customer's perspective.