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35. Because of its intangibility, consumers generally perceive a service to be more risky to purchase than a product. a. True b. False 36. The

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35. Because of its intangibility, consumers generally perceive a service to be more risky to purchase than a product. a. True b. False 36. The performance characteristics relevant in the functional design phase of a product design are a. Color, shape, and texture b. Speed, flexibility, and time-to-market c. Reliability, maintainability, and usability d. Availability, consistency, and calibration e. Product innovation, time-to-market, and consistency 37. Software systems for 'collaborative design' are most commonly referred to as a. Breakthrough design systems b. Artificial intelligence c. Fuzzy logic d. Expert systems e. Collaborative product commerce 38. In most projects a. there are few customers and customer involvement is high b. there are many customers and customer involvement is high c. there are few customers and customer involvement is low d. there are many customers and customer involvement is low 39. Which of the following is not a characteristic of mass production? a. products are made-to-stock for a mass market b. demand is stable c. products are assemble-to-order for a specialized market d. product volume is high 40. A company is considering producing a product for a new market. The fixed costs required for manufacturing and delivering the product is $50,000. Labor and material costs are estimated to be approximately $25.00 per product. If the product is sold for $35.00 each, the firm's break-even volume would be a. 50,000 units b. 5,000 units c. 2500 units d. 500 units 41. A large capacity cushion is most likely needed whenever there is a. high resource flexibility b. stable and predictable demand c. highly variable demand d. little interest in providing good customer service

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