Use of Just-In-Time Inventories and Other Sophisticated Supply-Chain Management Methods

question 59

True/False

Use of just-in-time inventories and other sophisticated supply-chain management methods has increased union bargaining power.

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Definitions:

Markup

The amount added to the cost of goods to cover overhead and profit, usually expressed as a percentage of the cost.

Discontinued Inventory

Discontinued inventory includes products that are no longer being produced or sold by a company, often due to obsolescence or strategy shifts.

Gross Profit Margin

A profitability metric that shows the percentage of revenue that exceeds the cost of goods sold, indicating the efficiency in producing goods.