Automated Order Entry Systems

question 11

Multiple Choice

Automated order entry systems:

• A) show goods from a single seller.
• B) increased the costs of inventory replenishment.
• C) are typically owned by the purchasing firm.
• D) no longer play an important role in B2B commerce.

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Definitions:

Variable Cost

Costs that vary directly with the level of production or sales volume, such as raw materials and direct labor expenses.

Sales Volume

Sales volume refers to the total number of units of a product or service sold by a company within a specific time frame.

Factory Utility Cost

Factory utility cost encompasses expenses related to the consumption of utilities such as electricity, gas, and water in a manufacturing facility.

Mixed Cost

A cost that contains both variable and fixed cost components, changing in total with the level of activity but not in direct proportion.