The Phenomenon in Which the Variability in the Size and Timing

question 23

Multiple Choice

The phenomenon in which the variability in the size and timing of orders increases at each stage up the supply chain is referred to as the ________.

• A) synergistic effect
• B) flanging effect
• C) stack effect
• D) bullwhip effect

---

Definitions:

CCA Recapture

Capital Cost Allowance Recapture, a tax mechanism in Canada that occurs when the sale price of a depreciable asset exceeds its undepreciated capital cost or book value.

Terminal Losses

Losses realized at the end of an investment period or the life of an asset, often associated with the disposal of fixed assets or investment vehicles.

Lessors

Individuals or entities that lease an asset to another party, known as the lessee, in exchange for periodic payments.

Tax Deductible

An expense that is tax deductible can reduce taxable income, thereby lowering the amount of tax owed to the government.