QUESTION 10 The cost of inventory in transit must be considered when the goods a
ID: 381656 • Letter: Q
Question
QUESTION 10
The cost of inventory in transit must be considered when the goods are _____
C.O.D.
FOB Destination
FOB Origin
Purchased on credit
4 points
QUESTION 11
The annual average number of units In-transit is _____ the order quantity under the basic EOQ model assumptions.
larger than
the same as
independent of
samller to
4 points
QUESTION 12
Which of the following statements are true?
A - Motor carriers offer fast, reliable service with low damage levels.
B - Rail service is relatively slow and inflexible.
C - Air transport is relatively inexpensive but also very fast, particularly for short distances.
A
None of them
B
All of them
C.O.D.
FOB Destination
FOB Origin
Purchased on credit
Explanation / Answer
Question 10:
The answer is given below:
FOB Origin
The seller or the buyer will have liabilities towards the goods that are transmitted.The cost of inventory in transit can be identified through FOB.
Question 11:
The answer is given below.
the same as
The average number is same as the order quantity, it is constant and there is no change through EOQ model assumptions.
Question 12:
The answer is given below:
A
The motor carriers offer fast, reliable service with low damage levels and make comfortable to the people.
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