1. Introduction to Food Technology
Industry Structure — Quiz
Test your understanding of industry structure with 5 practice questions.
Practice Questions
Question 1
Which term describes the acquisition or merger of companies operating at the same stage of the food supply chain to increase market share?
Question 2
In food manufacturing, which scale of facility is primarily used for initial feasibility testing and ingredient formulation before pilot trials?
Question 3
If a food plant has annual fixed costs of \1\,000\,000 and a variable cost of \$5 per unit, selling price is \$10 per unit, what is the break-even production volume in units? Show your calculation.
Question 4
Given a food processor with fixed cost of \$10\,000 and variable cost of \$4 per unit, what is the average cost per unit at an output of 500 units and at 2\,000 units, respectively? Show your calculation.
Question 5
If the domestic currency appreciates by 10\\% against major trading partners' currencies, how does this impact export margins for food manufacturers?