Which of the following statements concerning resource flexibility is best?
A) Flexible equipment is useful to companies with low production volumes and high customization.
B) Investment in general-purpose equipment is warranted if the firm expects to sell more than the break-even amount.
C) Manufacturing efficiency increases with general-purpose equipment.
D) Resource flexibility is crucial for line-flow processing.

Question

Quizplus · Accepted Answer

Flexible equipment enables companies to adjust their production quickly and easily to changes in volume or product customization. This is particularly useful for companies with low production volumes and high customization needs, as it allows them to meet customer demands without incurring high costs from unused or overused equipment.

Which of the Following Statements Concerning Resource Flexibility Is Best