Which of the Following Most Closely Describes Dependent Demand

question 14

Multiple Choice

Which of the following most closely describes dependent demand?

• A)Demand generated by suppliers.
• B)Sales forecasts.
• C)Derived demand.
• D)Demands placed on suppliers by their customers.
• E)Net material requirements.

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Definitions:

Share of the Profit

The portion of a company's earnings allocated to each outstanding share of common stock, illustrating the company's profitability on a per share basis.

Average Capital Balances

An average of the various amounts of capital held in an account over a specific period, often used to calculate interest or allocate profits and losses in partnerships.

Interest Allowance Method

A method used in accounting to allocate interest expense over the life of a debt at a constant rate.

Original Investment

The initial amount of money spent to acquire an asset or start a business venture, not including subsequent expenses.