Those Activities That Focus on Getting the Right Amount of the Right

question 255

Multiple Choice

Those activities that focus on getting the right amount of the right products to the right place at the right time at the lowest possible cost are referred to as

• A)strategic distribution.
• B)distribution management.
• C)tactical marketing planning.
• D)value chain optimization.
• E)logistics.

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Definitions:

Total Cost

The complete cost of producing or acquiring goods or services, including both fixed and variable components.

Direct Material Quantity Variance

The difference between the expected and actual quantity of materials used in production, affecting the total manufacturing cost.

Direct Labour Rate Variance

The difference between the actual cost of direct labor and the standard cost, which shows how well labor costs are being managed.

Direct Labour Efficiency Variance

The difference between the expected amount of labor hours needed to produce a given level of output and the actual labor hours used.