Physical Distribution Decisions May Impact

question 13

Multiple Choice

Physical distribution decisions may impact

• A) location decisions.
• B) target market selection.
• C) price decisions.
• D) channel of distribution decisions.
• E) physical distribution decisions may impact all of these.

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Definitions:

Average Product

is the output per unit of input, such as the quantity of goods produced per labor hour, and is used to measure productivity.

Marginal Cost

The expenditure resulting from the creation of an additional unit of a product or service.

Short-run Total Cost

The total of all costs, both fixed and variable, that a firm incurs in producing goods or services in the short run.

Average Total Cost

The cost per unit of output, determined by dividing the overall production cost by the quantity produced.