Which of the Following Statements About Cross-Docking Is NOT Correct

question 32

Multiple Choice

Which of the following statements about cross-docking is NOT correct?

• A)Cross-docking is packing products on incoming shipments so they can be easily sorted for outgoing shipments based on their final destination.
• B)Cross-docking reduces inventory and storage space requirements,but handling costs and lead times tend to increase.
• C)Items are moved from incoming vehicles to outgoing vehicles without being stored in warehouse inventory.
• D)Inbound and outbound shipments must be tightly coordinated for cross-docking to work.

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Definitions:

Inflation

An upward trend in the cost of goods and services, which lowers the effectiveness of buying power.

Coupon Bonds

Debt securities that pay the holder a fixed interest rate (coupon rate) over the life of the bond, culminating in the principal amount at maturity.

Pay Interest

The act of making periodic payments to lenders as compensation for borrowing money.

Coupon Rate

The yearly rate of interest distributed on a bond, represented as a percentage of its principal value, from the moment it is issued until it reaches its maturity date.