Which of the Following Is True of Normal Shortages

question 133

Multiple Choice

Which of the following is true of normal shortages?

• A) it is ignored in the income statement of a company.
• B) it is deducted from both the cost and retail columns.
• C) These goods are no longer available for sale.
• D) This loss is considered in calculating cost-to-retail ratio.

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Definitions:

Efficient Supply Chain

The optimization of processes in the supply chain to ensure the fastest, most cost-effective way of getting products from production to consumer.

Lower-Price Retailer

A retail store offering products at prices lower than those of competitors, often by reducing operational costs or offering fewer services.

Customer Service Concept

A business philosophy centered around meeting or exceeding customer expectations to enhance satisfaction and loyalty.