A Linear Programming Application Used to Measure the Relative Efficiency

question 28

Multiple Choice

A linear programming application used to measure the relative efficiency of operating units with the same goals and objectives is

• A)game theory.
• B)asset allocation.
• C)revenue management.
• D)data envelopment analysis.

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Definitions:

Net Income

The profit a company retains after all expenses and taxes have been removed from its revenue.

Inventory

A company's merchandise, raw materials, and finished and unfinished products which have not yet been sold.

Perpetual Inventory Method

An inventory management system where updates are made continuously to record sales and purchases instantly, maintaining constant and accurate inventory records.

Consolidation Worksheet

A tool used in accounting to combine the financial statements of parent and subsidiary companies into a single document for analysis.