Which of the Following Is an Advantage of Using Single

question 51

Multiple Choice

Which of the following is an advantage of using single sourcing?

• A) Suppliers are more likely to remain cost-competitive.
• B) Buyers are less reliant on one firm to deliver the needed goods without interruption.
• C) The buyer and seller agree to be each other's customers.
• D) Consistency of quality of materials input into the product process is greater.
• E) Buyers have other suppliers to fall back on if one supplier fails.

Identify the entities responsible for monitoring and enforcing laws related to channel practices.

Recognize sources of power within a distribution channel, such as economic influence and expertise.

Explain the causes of conflict in distribution channels, including vertical and horizontal conflicts.

Understand the concept of a channel captain and the roles it plays within the distribution channel.

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Definitions:

MIRR

Modified Internal Rate of Return, a financial metric that accounts for the cost of capital and reinvestment of cash flows.

IRR

The interest rate at which the total present value of a project or investment's incoming and outgoing cash flows sum to zero.

WACC

A technique called Weighted Average Cost of Capital computes a firm’s cost of funds, taking into account the proportional weighting of various capital types.

NPV

Net Present Value represents a technique for assessing the profitability of a project or investment, utilized in the process of capital budgeting.