Cross-Docking Is

question 72

Multiple Choice

Cross-docking is

• A) seldomly placing an item in storage, it is sent straight from incoming to outbound
• B) using docks for either incoming or outbound shipments
• C) using a single dock to unload and then load the same truck
• D) all of the above
• E) none of the above

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Definitions:

Opportunity Cost

The forfeit of potential benefits from different options when a specific choice is made.

Revenue Forgone

The potential income that is given up when choosing one alternative over another; essentially, it's the opportunity cost of revenue not earned.

Differential Analysis

A decision-making process that looks at the difference in costs and benefits between alternative choices.

Product Cost Distortion

When the allocated costs of manufacturing a product do not accurately reflect the actual costs, leading to incorrect pricing or profitability analysis.