In Terms of Distribution Costs,the Total System Should Be Designed

question 29

Multiple Choice

In terms of distribution costs,the total system should be designed to minimize costs for a given level of service.Which of the following is a major distribution cost that needs to be minimized?

• A) Product mix cost
• B) Depreciation cost
• C) Packaging cost
• D) New customer cost

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Definitions:

Cash Disbursements

Money that is paid out by a company, often including expenses, dividend payments, and other cash outflows.

Administrative Expenses

Costs related to the management and general operations of a business, such as salaries of non-sales personnel, rent, and utility expenses.

Selling Expenses

Costs associated with the marketing and sale of products or services, including advertising, sales commissions, and store fixtures.

Cash Available

Cash available refers to the liquid funds that a company or individual has on hand or in bank accounts, readily accessible for use.