WORLD HISTORY

Detailed explanation-1: -Why calculate cost of production? The cost of production is an important factor for businesses to consider when assessing their financial health. If a product’s cost of production is consistently higher than the profits it earns, the company may cease production to stay within budget.

Detailed explanation-2: -The manufacture of a product in large numbers and at a low cost, utilizing specialized equipment and a division of labor, is called mass production.

Detailed explanation-3: -What Is Mass Production? Mass production is the manufacturing of large quantities of standardized products, often using assembly lines or automation technology. Mass production facilitates the efficient production of a large number of similar products.

Detailed explanation-4: -Lower cost: Mass production enables companies to produce larger quantities with fewer workers. Instead of having to pay several workers to complete a task by hand, manufacturers use machines to produce goods much faster. This allows companies to sell their products at a lower cost without losing profit.