ENTREPRENEURIAL OPERATIONS
INVENTORY MANAGEMENT
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Question
[CLICK ON ANY CHOICE TO KNOW THE RIGHT ANSWER]
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Factory gate pricing:
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Transport costs are not included in thepurchase price of a product
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The price is lower because you buy directly from the manufacturer
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Either A or B
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None of the above
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Explanation:
Detailed explanation-1: -Cost refers to the monetary value of the resources used to produce transportation services-labor, equipment, fuel, and infrastructure.
Detailed explanation-2: -Some of your transportation costs are fixed costs, while others are variable. For example, gas is considered a variable operating cost because fuel prices fluctuate.
Detailed explanation-3: -Thus, the transportation cost of trade affects the pattern of trade, the boundaries between tradable and non-tradable goods, and the global supply chain.
There is 1 question to complete.