Final answer:
The statement regarding the bill of materials is true; it lists all the materials and subassemblies needed for a single unit of finished product. The concept of bulk reducing and bulk gaining industries influences where products are manufactured based on transportation costs. Francis Cabot Lowell did build the first integrated textile mill in New England.
Step-by-step explanation:
The statement that the bill of materials specifies the types and quantities of the raw materials and subassemblies used in producing a single unit of finished product is true. A bill of materials (BOM) is an extensive list of raw materials, components, and instructions required to construct, manufacture, or repair a product or service. It includes the quantities of each component and their specific types, which is essential for the manufacturing process.
An example of the economic principle at play here is the concept of bulk reducing and bulk gaining industries. In bulk reducing industries, because the finished product is more manageable or cheaper to transport than the raw materials, it is more efficient to locate production closer to the raw materials' source. Conversely, bulk gaining industries, where the finished product is heavier or more expensive to transport, will be closer to the market.
Moreover, while the physical materials required, like the plastics and wiring in computers, may represent a smaller portion of the overall cost when compared to the technological intellectual property, they are nonetheless a critical part of manufacturing and are documented in the bill of materials.
Regarding Francis Cabot Lowell, the statement that he built the first integrated textile mill in New England is indeed true. His mill incorporated all the processes of textile manufacturing, from raw cotton to finished cloth, under one roof, which was a significant innovation at that time.