The Management of an Organization Is Less Able to Afford

question 15

Multiple Choice

The management of an organization is less able to afford a strike when the:

• A)product is non-perishable in nature.
• B)organization is capital intensive.
• C)replacement workers are scarce.
• D)company has more than one production unit.
• E)demand for its product is strong.

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Definitions:

FIFO

First In, First Out; an inventory valuation method where the first items placed in inventory are the first to be removed or sold.

Market Value

The current price at which an asset or service can be bought or sold in a marketplace.

FOB Destination

A shipping term indicating that the seller is responsible for the goods until they reach the specified destination and have been delivered.

Consignment

A business arrangement where goods are left in the possession of an authorized third party to sell, but the title to the goods remains with the seller until sold.