A Company That Forecasts Sales,builds an Inventory Based on the Forecast,holds

question 57

Multiple Choice

A company that forecasts sales,builds an inventory based on the forecast,holds the components in inventory until a customer order is received and then finalizes the product based on the order is using a

• A)push-pull strategy.
• B)demand strategy.
• C)pull strategy.
• D)supply strategy.
• E)push strategy.

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Definitions:

Statement of Cash Flows

A financial statement that shows how changes in balance sheet accounts and income affect cash and cash equivalents, breaking the analysis down to operating, investing, and financing activities.

Retained Earnings Statement

A financial statement that shows the amounts and causes of changes in retained earnings for a specific period.

Income Statement

A financial report that shows a company's revenues, expenses, and profits or losses over a specific period, detailing its financial performance.

External Reporting

The process of preparing and disclosing financial statements and other information to parties outside the organization.