Distribution Facilities Can Provide Numerous Services, Depending on the Requirements

question 32

Multiple Choice

Distribution facilities can provide numerous services, depending on the requirements of the supply chain. Which of these is not a typical service?

• A) assortment
• B) accumulation
• C) allocation
• D) activity

---

Definitions:

Net Present Value

The difference between the present value of cash inflows and outflows over a period of time for an investment.

Required Rate

The minimum rate of return on an investment that a manager or investor is willing to accept before making an investment decision.

Equivalent Annual Cost

The cost per year of owning and operating an asset over its entire lifespan, considering both the initial purchase price and ongoing operating expenses.

Customized Tool

A tailored or specially made instrument or software designed to meet the specific needs of a user or task.