Which of the Following Is Not an Advantage of Using

question 12

Multiple Choice

Which of the following is not an advantage of using a 3PL?​

• A)Economies of scale and increased flexibility.
• B)Improve service performance levels.
• C)Loss of dedicated in-house managed staff.
• D)Release capital from sale of assets.
• E)Concentrate on core business activities.

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Definitions:

Merchandise Cost

Merchandise cost is the total expense incurred to purchase goods for resale, including the purchase price, shipping, handling, and import duties.

Gross Profit Method

A technique to estimate the amount of ending inventory and cost of goods sold by using the gross profit margin.

Gross Margin Ratio

A financial metric showing the percentage of revenue that exceeds the cost of goods sold, indicating the efficiency of a company in managing its production costs.

Ending Inventory

The entire value of commodities prepared for sales at the finale of an accounting timeline.