When Peridot, a Department Store, Centralized All Its Buying Activities

question 36

Multiple Choice

When Peridot, a department store, centralized all its buying activities, the store and department managers were able to spend more time working with sales associates and talking with customers. As a result, the company was able to better understand the expectations of the customers. Which of the following gaps was reduced as a result of the centralization process?

• A) Knowledge gap
• B) Communication gap
• C) Delivery gap
• D) Standards gap
• E) Research gap

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Definitions:

Attorney Fees

Payments made to lawyers for legal services rendered.

Graded

A term typically used in education to describe the evaluation of work or performance by assigning a level, score, or category.

Straight-Line Method

A depreciation method that allocates an equal portion of the initial cost of an asset to each accounting period over the asset's useful life.

Salvage Value

Salvage value is the estimated resale value of an asset at the end of its useful life, considered in depreciation calculations.