If the Operation Is Fast to Respond with Flexible Suppliers

question 12

Multiple Choice

If the operation is fast to respond with flexible suppliers and the market requirements are predictable with few changes, that is:

• A) Match
• B) Mismatch

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Definitions:

Purchases

The acquisition of goods or services for the purpose of resale or use in the production of goods for sale.

Purchase Discounts

A reduction in the price paid for goods or services, often granted by the seller as an incentive for early payment.

Freight-In

Freight-in concerns the shipping costs of receiving goods to be sold or used in production, added to the cost of purchased inventory.

Sales Returns and Allowances

Concessions made by the seller, including refunds and reductions in the original selling price for returned goods or deficiencies.