SESSION 2 2022/2023

The movement of products through the supply chain until they reach the customer is called:

• Retailing

• Distribution

• Transportation

• Manufacturing

The ideal transport method for fluids is:

• Road transport

• Railway transport

• Water transport

• Pipeline

Which pricing strategy requires each customer to pay the exact freight from the factory to their location?

• Zone pricing

• Base-point pricing

• FOB origin pricing

• FOB destination pricing

Which of these is NOT considered inventory?

• Finished items for sale

• Components for production

• Raw materials

• Machinery and equipment

This type of stock helps businesses avoid shortages and price hikes:

• Seasonal stock

• Safety stock

• Deadstock

• Speculative stock

Inventory risk cost arises from:

• Obsolete goods held for a long time

• Capital tied up in inventory

• Moving the product in and out of inventory

• High insurance costs for loss or damage

Tax on inventory value is referred to as:

• Capital cost

• Storage space cost

• Inventory service cost

• Inventory risk cost

Warehouses that support customer demands during peak seasons offer:

• Spot-stocking

• Full-line stocking

• Value-added service

• Seasonal stocking

A bonded warehouse stores goods until:

• Payment by the customer

• Payment of customs duties

• Customs inspection

• Seller pickup

The goal of a smart warehouse using technology is:

• To increase production cost

• To increase production units

• To reduce system reliability

• To improve inventory accuracy