Which of the Following Is Not a Common Control for Ensuring

question 107

Multiple Choice

Which of the following is not a common control for ensuring inventory is secure and inventory counts are accurate?

• A)control of physical access to the inventory storage areas
• B)transfers of inventory with proper documentation
• C)sending "blind" copies of purchase orders to inventory control for data entry
• D)making physical counts of inventory at least once per year

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Definitions:

Supply Chain Network Design

Planning and structuring a supply chain's logistics and distribution strategy to maximize efficiency and productivity.

Offshoring

The business practice of relocating manufacturing processes or services to another country to reduce costs.

Working Capital

Refers to a company's current assets minus its current liabilities, indicating the liquid capital available for day-to-day operations.

Freight Costs

The charges incurred for transporting goods from one place to another via sea, air, or land carriers.