The Secondary Levers for Decoupling Inventory Emphasize

question 3

Multiple Choice

The secondary levers for decoupling inventory emphasize

• A) finding more responsive suppliers and carriers for shipments between stocking locations.
• B) level customer demand by offering seasonal pricing plans.
• C) all aspects of uncertainty found in the demand, supply, delivery, and operations.
• D) better coordination and adjusting the output rate of individual operations.

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Definitions:

Cash Flows

The total amount of money being transferred in and out of a business, particularly in relation to liquidity.

Payback Period

The amount of time it takes to recover the cost of an investment through its cash inflows.

Payback

The method of calculating the duration required to recover the cost of an investment, emphasizing the time it takes to reach a breakeven point.

Annual Cash Flows

The total amount of money being transferred into and out of a business, affecting its liquidity, over a year.