Dealers

question 4

Multiple Choice

Dealers:

• A)match buy and sell orders on behalf of their clients
• B)hold an inventory of securities
• C)earn their main income from dividends received on the shares they hold
• D)charge a commission on trades performed.
• E)All of these.

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Definitions:

Safety Stock

Inventory a company holds beyond its expected demand to protect against stockouts due to unpredictable variations in supply and demand.

Kanbans

Signaling systems used within manufacturing and inventory management to regulate the flow of products based on the demand and supply capacity.

JIT

Just-in-time refers to a strategy that aims to improve a business's return on investment by reducing in-process inventory and associated carrying costs.

Lean Operations

A business methodology that focuses on minimizing waste and maximizing value in the production process through continuous improvement and responding to customer demands.