In the Context of Physical Distribution, Which of the Following

question 122

Multiple Choice

In the context of physical distribution, which of the following is a key management decision regarding materials handling?

• A) How should we manage incoming and outgoing orders?
• B) How can we serve our customers most effectively?
• C) How can we best balance efficiency with effectiveness?
• D) How can we reduce waiting times and facilitate interactions?

---

Definitions:

Fixed Asset Turnover

A financial ratio that measures how efficiently a company is using its fixed assets to generate sales.

Profit Margin

A financial metric used to evaluate a company's profitability, calculated as net income divided by revenue.

Net Fixed Assets

Assets with a physical form that are held by a company for long-term use, minus depreciation.

Average Collection Period

How long, on average, it takes for a business to get paid by its customers.