As the production manager of an engineering firm, you went out and bought a metal-cutting machine. What you have purchased can best be classified as a
A) raw material.
B) processed component.
C) component part.
D) service.
E) business product.

Question

Quizplus · Accepted Answer

The metal-cutting machine is a business product, which is a product purchased by organizations for use in their operations or to resell. It is not a raw material, as it is not an unprocessed natural resource. It is also not a processed component or component part, as those are typically smaller parts that are combined together to make a larger product. Finally, it is not a service, as it is a tangible product that can be physically seen and used.

As the Production Manager of an Engineering Firm, You Went