Dependability Is the Consistency of Replenishment

question 48

Multiple Choice

Dependability is the consistency of replenishment. This is important to all firms in a supply chain and to consumers. It can be broken into three elements: consistent lead time, safe delivery, and

• A) honest and accurate pricing.
• B) quality products.
• C) complete delivery.
• D) a well-informed delivery staff.
• E) product warranties.

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Definitions:

Flexible Policy

A strategy allowing for adaptable operational or financial decisions based on changing circumstances, often to mitigate risks or seize opportunities.

Minimal Cash Balances

Minimal Cash Balances represent the smallest amount of cash that a business needs to keep on hand to meet its immediate payment obligations and avoid liquidity issues.

Restrictive Policy

A policy designed to limit or control certain actions, often used in the context of financial lending where certain covenants restrict borrower behavior.

Marketable Securities

Marketable securities are liquid financial instruments that can be quickly converted into cash at a price close to their market value.