In a Supply Chain, Which One of the Following Doesn't

question 66

Multiple Choice

In a supply chain, which one of the following doesn't flow in the direction of upstream?

• A) Order information
• B) Payment
• C) Goods
• D) None of these

Understand the concept of cash discounts and how they are applied to invoices.

Calculate the amount of cash discount available for early payment.

Determine the discount and due dates for invoices based on specified terms.

Utilize the complement method to calculate the remittance amount when a discount is taken.

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Definitions:

Sales Projection

An estimate of the sales revenue that a company expects to achieve in a future period.

Retained Earnings

Profits that a company has kept or retained rather than distributed to shareholders in the form of dividends.

Debt to Equity Ratio

A measure of a company's financial leverage calculated by dividing its total liabilities by shareholder equity, indicating the proportion of equity and debt used to finance a company's assets.

Dividends

Distributions given to the shareholders of a corporation, typically sourced from the profits of the business.