Which One of the Following Is Not Generally a Determinant

question 130

Multiple Choice

Which one of the following is not generally a determinant of the reorder point?

• A)rate of demand
• B)length of lead time
• C)lead time variability
• D)stockout risk
• E)purchase cost

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Definitions:

Contributed Capital

Equity that has been provided to a company by its shareholders through the purchase of stock.

Retained Earnings

The portion of a company's profits that is retained and not distributed to shareholders, often reinvested in the business or used to pay off debt.

Intangible Assets

Assets that cannot be seen, touched, or physically measured and are created through time and effort, such as trademarks, patents, and copyrights.

Current Liabilities

Financial obligations or debts of a business that are due to be paid within a year.