question archive Assembling a product is an example of a/an _______ activity
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Assembling a product is an example of a/an _______ activity. A. product-level B. unit-level C. batch-level D. organization-sustaining
Assembling a product is an example of an unit-level activity. The correct answer is option B.
Step-by-step explanation
Assembling a product is an example of an unit-level activity.
Explanation: The activity level is defined by the nature of activity involved. Assembling of product is done one-by-one, each product is assembled separately. At a time only one unit of product is assembled hence, assembling a product is an example of an unit-level activity.
An activity is said to be batch-level if activity is done in batch and the cost is not traced to individual product. Hence, this is a wrong choice as assembling is done individually for each product.
An activity is said to be product-level if activity is done for all product manufactured during the relevant period and the cost is not traced to individual product. Hence, this is a wrong choice as assembling is done individually for each product.
An activity is said to be organization-sustaining if activity is done for increasing the activity level or maintaining the current sales level hence assembling cost would not treated as organization-sustaining level activity.