The Term Demand Chain Is Considered Limited Because It ________

question 129

Multiple Choice

The term demand chain is considered limited because it ________.

• A) advocates a make-and-sell view of the market that relies on a responsive supply network
• B) suggests that planning starts with raw materials, productive inputs, and factory capacity
• C) takes a step-by-step, linear view of purchase-production-consumption activities
• D) ignores the evolution of the global marketplace
• E) overlooks the needs of target customers

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Definitions:

Prepaid Insurance

Insurance premiums paid in advance by a company, which are recorded as an asset on the balance sheet until the coverage period lapses.

Asset Accounts

Accounts that represent resources owned or controlled by a company that have future economic value.

Accounts Payable

Financial obligations of a company towards creditors, resulting from goods and services acquired on a credit basis.

Unearned Revenue

Money received by a company for goods or services that have not yet been delivered or performed, considered a liability until the income is earned.