It Is Desirable for a Firm in the Higher Echelon

question 142

Multiple Choice

It is desirable for a firm in the higher echelon of an efficient supply chain to have

• A) delivery by air.
• B) high inventory investment.
• C) high- capacity cushions.
• D) a line flow process.

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Definitions:

Merchandise Inventory

Goods a company intends to sell to customers that are considered a current asset on the balance sheet.

Cash Budget

A financial plan that estimates a company's cash inflows and outflows over a specified period, helping in managing liquidity.

Cash Disbursements

The process of paying out money from a company or individual's cash account, usually including expenses, debt payments, and other financial transactions.

Financing Required

The total amount of money needed to start or expand an enterprise, often reflecting external funding needs to cover projected deficits or investments.