Which Value Chain Function Would Use the Following Cost Driver

question 142

Multiple Choice

Which value chain function would use the following cost driver: weight of items delivered?

• A)marketing
• B)distribution
• C)customer service
• D)none of the above

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Definitions:

Trade Discount

A reduction in the list price granted by a supplier to a buyer, often based on the volume of goods purchased or to maintain a competitive advantage.

Free On Board

A shipping term indicating whether the seller or the buyer is responsible for goods that are damaged or destroyed during shipping.

Sales Tax

A government-imposed charge on the sale of goods and services.

Account Receivable

Money owed to a business by its clients or customers for goods or services delivered but not yet paid for.