There Are Three Principle Supply Chain Information Requirements That Support

question 33

Multiple Choice

There are three principle supply chain information requirements that support effective decision-making. Which of the following is NOT one of the three?

• A) Information must meet quality standards to support fact-based decision-making.
• B) Information must readily flow within and between organizations.
• C) Information must support multiple types of supply chain decisions.
• D) Information must be in the form of real-time data.

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Definitions:

Cost Control

The process of monitoring and managing the expenses of a business to adhere to a budget or increase profitability.

Flexible Budget Cost Variance

The difference between actual costs and the costs allocated in the flexible budget, which adjusts based on actual levels of activity.

Quantity Variance

A variance that is computed by taking the difference between the actual quantity of the input used and the amount of the input that should have been used for the actual level of output and multiplying the result by the standard price of the input.

Price Variance

The difference between the actual cost of a good or service and its budgeted or standard cost.