Quantity Discounts Lead to

question 64

Multiple Choice

Quantity discounts lead to

• A)a significant buildup of cycle inventory in the supply chain.
• B)a slight buildup of cycle inventory in the supply chain.
• C)a decrease in cycle inventory in the supply chain.
• D)minor fluctuations of cycle inventory in the supply chain.

---

Definitions:

Tax Passed

Occurs when the burden of a tax is shifted from the entity legally responsible for it to another party, such as consumers.

Import Quota

A regulatory measure that sets a physical limit on the quantity of goods that can be imported into a country over a specified period of time.

Tariff

A tax imposed by a government on goods and services imported from other countries, used to control trade.

International Trade

The exchange of goods and services across national borders, driven by the principle of comparative advantage.