Uncertainty in Demand and Economic Factors Should Be Included in the Financial

question 2

Multiple Choice

Uncertainty in demand and economic factors should be included in the financial evaluation of supply chain design decisions,because

• A) the exclusion of certainty may have a significant impact on this evaluation.
• B) the exclusion of uncertainty may have a significant impact on this evaluation.
• C) the inclusion of certainty may have a significant impact on this evaluation.
• D) the inclusion of uncertainty may have a significant impact on this evaluation.
• E) none of the above

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Definitions:

Cash Investment

Financial assets that are highly liquid and can be quickly converted into cash, or the act of placing money into financial schemes, shares, property, or a commercial venture with the expectation of achieving a profit.

Owner Recorded

The registration of assets, liabilities, or transactions by the owner in the financial records of a business.

Cash Payments Journal

A specialized accounting journal used to record all cash outflows or payments made by a business.

General Journal

A bookkeeping ledger that records every financial transaction of a business in chronological order.