Which of the Following Reduces Product Handling, Inventory, and Facility

question 46

Multiple Choice

Which of the following reduces product handling, inventory, and facility costs, but requires both (1) tight scheduling and (2) accurate inbound product information?

• A) phantom-docking
• B) random stocking
• C) ASRS
• D) customizing
• E) cross-docking

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Definitions:

Prepaid Freight

Costs paid in advance for the transportation of goods, which is often recorded as a prepaid expense on the balance sheet.

Sales Invoice

A document issued by a seller to a buyer, recording a transaction and requesting payment for the sale of goods or services.

FOB Destination

A shipping term indicating that the seller retains ownership and is responsible for the goods until they are delivered and the buyer's site.

Freight Costs

Expenses associated with transporting goods from one place to another, which can be paid by the shipper or the receiver.