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Question
question # 10
multiple choice
which of the following is not a cost associated with carrying inventory?
the cost of the storage space
the cost of actually delivering the inventory to buyers
the cost of insurance for the inventory
the labor costs for the workers involved in handling the inventory
question # 11
multiple select
who benefits by having dcs located closer to where the customers for the product live? (select all that apply.)
companies that insure the inventory
customers
companies that buy from the distribution center
the company that owns the distribution center
- Question 10: Carrying inventory costs include storage, insurance, and labor for handling. Delivery to buyers is a distribution cost, not a carrying cost.
- Question 11: Customers get faster delivery. Companies buying from DCs may have lower transportation costs. The owning company can improve service and potentially reduce costs. Insurers don't directly benefit from DC location.
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- Question 10: the cost of actually delivering the inventory to buyers
- Question 11: customers, companies that buy from the distribution center, the company that owns the distribution center