Sam is a sales representative with Stepan, a global chemical supplier with manufacturing operations around the globe. Sam is based in the Midwest and Procter and Gamble is one of his accounts. Stepan is known as a quality producer of surfactants which are utilized by companies like Procter and Gamble to make their products work better. For example, Procter and Gamble utilizes surfactants in Tide detergent in order to get clothes cleaner and separate the "cleaning agent" from the water. Stepan produces their surfactant as one of their "finished products" but when added to Tide detergent, the surfactant from Stepan becomes a final product of Procter and Gamble. Which type of business product are Stepan's surfactants?
A) component parts and materials
B) raw materials
C) supplies
D) accessory equipment

Question

Sam is a sales representative with Stepan, a global chemical supplier with manufacturing operations around the globe. Sam is based in the Midwest and Procter and Gamble is one of his accounts. Stepan is known as a quality producer of surfactants which are utilized by companies like Procter and Gamble to make their products work better. For example, Procter and Gamble utilizes surfactants in Tide detergent in order to get clothes cleaner and separate the "cleaning agent" from the water. Stepan produces their surfactant as one of their "finished products" but when added to Tide detergent, the surfactant from Stepan becomes a final product of Procter and Gamble. Which type of business product are Stepan's surfactants? ​
A) ​component parts and materials
B) ​raw materials
C) ​supplies
D) ​accessory equipment

Quizplus · Accepted Answer

Stepan's surfactants are considered component parts and materials because they are used in the production of another company's final product without further modification, exemplified by their use in Procter and Gamble's Tide detergent.

Sam Is a Sales Representative with Stepan, a Global Chemical