The Most Significant Sourcing Decision for a Firm Is

question 66

Multiple Choice

The most significant sourcing decision for a firm is

• A)whether to locate a plant close to customers or locate a plant close to sources of raw materials or suppliers.
• B)whether to use highly automate processes or manual labor.
• C)whether to use traditional inventory methods or adopt a just in time approach to stocking.
• D)whether to perform a task in-house or outsource it to a third party.

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Definitions:

Quoted Rate

The stated interest rate or financial charge on a loan or financial product.

Interest

The charge for borrowing money, typically expressed as a percentage of the amount borrowed.

Annuity

A monetary product offering a set sequence of disbursements to a recipient, frequently used to generate income for people who are retired.