Giving Quantity Discounts Based on Annual Volume Instead of Single

question 6

Multiple Choice

Giving quantity discounts based on annual volume instead of single order size helps to control which supply-chain issue?

• A) control risk
• B) environmental risk
• C) the bullwhip effect
• D) unethical supplier behaviour
• E) vendor-managed inventory

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Definitions:

Current Liabilities

A firm’s financial obligations to short-term creditors, which must be repaid within one year.

Financing Activities

Transactions and events that affect the long-term liabilities and equity of a company, including issuing debt, securing loans, or selling company shares.