E-Distributors

question 14

Multiple Choice

E-distributors:

• A) make money by charging a mark-up on products they distribute.
• B) usually operate "private" markets.
• C) operate in vertical markets.
• D) focus on selling direct products.

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Definitions:

Finished Goods Inventory

Products that have completed the manufacturing process but have not yet been sold or distributed to customers.

Expected Units Sold

The number of units of a product that a company anticipates selling in a particular period based on market research and sales forecasts.

Direct Materials Budget

An estimation of the quantity and cost of direct materials necessary for production, matching the production budget.

Beginning Inventory

The value of goods available for sale at the start of an accounting period.