If an Organisation Cannot Deliver Goods or Services Quickly Because

question 98

Multiple Choice

If an organisation cannot deliver goods or services quickly because of a constraint, managers might relax that constraint to

• A) Protect customer loyalty
• B) Ensure optimal profitability
• C) Increase the selling price of the product
• D) Find the next bottleneck

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Definitions:

Merchandise Purchases

Transactions related to buying inventory for resale, typically in a retail or wholesale business setting.

Beginning Cash Balance

Beginning cash balance is the amount of cash available at the start of a financial period, carrying over as the ending balance from the previous period.

Ending Cash Balance

The amount of cash available at the end of a financial period.

Production Budget

A financial plan that estimates the costs associated with the production of goods or services within a specified period.