Quite Often in a VMI System,the Inventory Is

question 58

Multiple Choice

Quite often in a VMI system,the inventory is

• A)owned by the retailer before it is shipped by the supplier.
• B)owned by the supplier until it is sold by the retailer.
• C)sold by the supplier before it is owned by the retailer.
• D)sold by the retailer before it is shipped by the supplier.

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Definitions:

Concentrator Account

A single centralized bank account that consolidates funds from various sources for the purpose of streamlined management.

Trustee Account

A type of account managed by a trustee who holds assets for the benefit of another party, ensuring the assets are managed in the beneficiary's best interest.

Short-term Securities

Financial instruments that are typically debt securities with maturities of one year or less, used for short-term financing needs.

Interest Rate Sensitive

Pertaining to assets or investments that are affected by changes in interest rates.