All the Following Are Approaches Used in Risk Pooling Within

question 16

Multiple Choice

All the following are approaches used in risk pooling within a supply chain except

• A)reducing the number and variety of parts.
• B)creating flexible capacity.
• C)encouraging large orders.
• D)combining inventories from multiple locations into one location.

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Definitions:

Direct Materials

Raw materials that can be directly attributed to the production of specific goods or services.

Production

The process of creating goods or services by combining labor, materials, and technology.

Dollar Amount

The total value of something expressed in dollars.

Sales Revenue

The total amount of money generated from the sale of goods or services by a company before any expenses are deducted.