What Can Effective and Efficient Supply Chain Management Systems Enable

question 45

Multiple Choice

What can effective and efficient supply chain management systems enable an organization to accomplish?

• A) Increase the power of its buyers
• B) Increase its supplier power
• C) Increase switching costs to increase the threat of substitute products or services
• D) All of these

---

Definitions:

Accounts Receivable

Money owed to a company by its customers for goods or services that have been delivered but not yet paid for.

Direct Write-off

A method for recognizing bad debt expense when a specific account receivable is determined to be uncollectible, directly reducing accounts receivable and recognizing the expense.

Bad Debt Expense

An accounting expense recognized for receivables that are no longer considered collectible, impacting both the balance sheet and income statement.

Uncollectible

Refers to debt or receivables that cannot be recovered or are very unlikely to be paid by debtors.