Many Businesses Have Replaced Their Buyer-Managed Inventory Systems with Vendor-Managed

question 143

True/False

Many businesses have replaced their buyer-managed inventory systems with vendor-managed systems because electronic data interchange allows suppliers to reduce response time.

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Definitions:

Selling Merchandise

The process of offering goods for sale to customers, often in a retail setting, which constitutes the primary revenue-generating activity of merchandising companies.

Current Assets

Assets that are expected to be converted into cash, sold, or consumed within one year or during the normal operation cycle of the business, whichever is longer.

Net Income

Net income is the total profit of a company after all expenses and taxes have been subtracted from total revenue.