Asked by Mayesha Tanjeen on May 05, 2024
Verified
Which of the following statements best compares modular bills and phantom bills?
A) Both pertain to assemblies that are not inventoried.
B) There is no difference between the two.
C) Both pertain to assemblies that are inventoried.
D) Modular bills are used for assemblies that are not inventoried, unlike phantom bills.
E) Modular bills represent subassemblies that actually exist and are inventoried, while phantom bills represent subassemblies that exist only temporarily and are not inventoried.
Modular Bills
Bills of material organized by major subassemblies or by product options.
Phantom Bills
refer to a bill of materials used in manufacturing for temporary or virtual assemblies that are not physically built but are needed for planning or costing purposes in complex manufacturing projects.
- Discern between assorted bills of materials and their employment in the scheduling of production activities.
Verified Answer
ZK
Zybrea KnightMay 06, 2024
Final Answer :
E
Explanation :
Modular bills are associated with subassemblies that are real and kept in inventory, serving as a way to organize and manage components that are often used together. Phantom bills, on the other hand, are used for temporary or virtual assemblies that are not physically stocked or inventoried. They are useful for planning and production processes but do not represent physical inventory items.
Learning Objectives
- Discern between assorted bills of materials and their employment in the scheduling of production activities.
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