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The rate at which the entire organization generates money through sales for a product or service is
Question

The rate at which the entire organization generates money through sales for a product or service is

A.

Operating expense

B.

Inventory

C.

Takt time

D.

Throughput

Correct option is D


Throughput refers to the rate at which a company generates revenue through the sale of its products or services. It is a key concept in operations management and is closely associated with the efficiency of a production process. Throughput is typically measured in units of output per time period (e.g., units per hour, dollars per day) and is a critical factor in determining the overall profitability of a business. It focuses on maximizing the rate of production and sales to increase revenue.

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