Warehousing and Inventory Storage

question 3

Multiple Choice

Warehousing and inventory storage:

• A)typically has little communication with supply management.
• B)may have direct responsibility for organizational purchasing decisions.
• C)can either be an internal function or outsourced to a third-party logistics firm.
• D)typically reports to the finance department.
• E)is seldom outsourced.

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Definitions:

Premium

Fee for insurance coverage, usually paid every year by the insured person. The difference between a bond’s par value and its market value when the market value is more. When bonds are sold at a premium, the yield rate will be lower than the stated (face) rate.

Discount

A fee charged when someone buys a note before maturity. With regard to bonds, a bond sells at a discount if the market value becomes less than the face value.

Premium Price

A pricing strategy where goods or services are sold at a higher price point due to perceived advantages, often related to quality or status.

Bond Quoted

The price or interest rate at which a bond is currently being sold or bought in the market.