Order Cycle Time Refers to

question 194

Multiple Choice

Order cycle time refers to

• A) the time between when an order is placed and when payment is received.
• B) the time between the sale of the first production batch to the sale of the next production batch.
• C) the cycle between one full warehouse shipment to the next full warehouse shipment.
• D) the lag from ordering an item until it is received and ready for use or sale.
• E) the average time between reorders by a given wholesaler or retailer in the marketing channel.

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Definitions:

Annuity Formula

A mathematical formula used to calculate the future value of an annuity or the payments required to meet a certain future value.

Compound Interest

Interest calculated on the initial principal, which also includes all of the accumulated interest from previous periods.

Exponential Decay

A decrease in quantity that occurs at a rate proportional to the current total, often seen in contexts like radioactive decay.

Arithmetic Operations

Core math processes involving plus, minus, times, and divided by.