What is an inventory control system? Discuss the objective of inventory management and describe materials requirement planning (MRP) and distribution resource planning (DRP).
What will be an ideal response?
An inventory control system develops and maintains an adequate assortment of products to meet customers' demands. The objective of inventory management is to balance minimum inventory levels (to reduce costs) while maintaining an adequate supply of goods to meet customer demand. Managing inventory from the supplier to the manufacturer is called materials requirement planning (MRP). This is an inventory control system that manages the replenishment of raw materials, supplies, and components from the supplier to the manufacturer. The system that manages the finished goods inventory from manufacturer to end user is commonly referred to as distribution resource planning (DRP). Both inventory systems use inputs, such as sales forecasts, available inventory, outstanding orders, lead times, and mode of transportation to be used, to determine what actions must be taken to replenish goods at all points in the supply chain.
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) In process costing, production costs are accumulated by process. At the end of the period, the total production costs incurred must be split into two components.
What are these two components?
Which of the following is a reason for frustration for marketers moving from a corporate to a nonprofit environment
a. they have too much responsibility for too many programs and people b. they don't have enough responsibility compared to the corporate sector c. processes take longer and management is reluctant to take risks d. they never have enough budget because nonprofits always don't have enough money to do the job e. they are often absorbed by public relations or fund development
The following formula is used to compute the present value of a lump sum
Future value = Present value x PV factor for i = X%, n = X periods Indicate whether the statement is true or false
Common-sized income statements
A) compare companies with the same level of net income. B) compare companies with the same level of total sales. C) assist in the comparison of companies of different sizes. D) show each income statement account as a percentage of total assets.