COB 300 EVALUATION UPDATED EXAM ALL
QUESTIONS AND ANSWERS SURE A+
✔✔Break-even point (BEP) - ✔✔The volume of output at which total cost and total
revenue are equal.
✔✔Cash flow - ✔✔The difference between cash received from sales and other sources,
and cash outflow for labor, material, overhead, and taxes.
✔✔Present value - ✔✔The sum, in current value, of all future cash flows of an
investment proposal.
✔✔Strategic Sourcing - ✔✔The development and management of supplier relationships
to acquire goods and services in a way that aids in achieving the needs of a business.
✔✔Sourcing - ✔✔A process suitable for procuring products that are strategically
important to the firm.
✔✔Request for proposal - ✔✔A solicitation that asks for a detailed proposal from a
vendor interested in supplying an item
✔✔Vendor-managed inventory - ✔✔When a customer allows the supplier to manage
the inventory policy of an item or group of items.
, ✔✔Forward buying - ✔✔A term that refers to when a customer, responding to a
promotion, buys far in advance of when an item will be used.
✔✔Bullwhip effect - ✔✔The variability in demand is magnified as we move from the
customer to the producer in the supply chain.
✔✔Continuous replenishment - ✔✔A program for automatically supplying groups of
items to a customer on a regular basis.
✔✔Functional products - ✔✔Staples that people buy in a wide range of retail outlets,
such as grocery stores and gas stations.
✔✔Innovative products - ✔✔Products such as fashionable clothes and personal
computers that typically have a life cycle of just a few months.
✔✔Stable supply process - ✔✔A process where the underlying technology is stable.
✔✔Evolving supply process - ✔✔A process where the underlying technology changes
rapidly.
✔✔Logistics - ✔✔The art and science of obtaining, producing, and distributing material
and product in the proper place and in the proper quantities.
✔✔International logistics - ✔✔All functions concerned with the movement of materials
and finished goods on a global scale.
✔✔Cross-docking - ✔✔An approach used in consolidation warehouses where, rather
than making larger shipments, large shipments are broken down into small shipments
for local delivery in an area.
✔✔Outsourcing - ✔✔Moving some of a firm's internal activities and decision
responsibility to outside providers.
✔✔Free trade zone - ✔✔A closed facility (under the supervision of government customs
officials) into which foreign goods can be brought without being subject to the payment
of normal import duties.
✔✔Trading blocs - ✔✔A group of countries that agree on a set of special arrangements
governing the trading of goods between member countries. Companies may locate in
places affected by the agreement to take advantage of new market opportunities.
✔✔Third-party logistics company - ✔✔A company that manages all or part of another
company's product delivery operations.
QUESTIONS AND ANSWERS SURE A+
✔✔Break-even point (BEP) - ✔✔The volume of output at which total cost and total
revenue are equal.
✔✔Cash flow - ✔✔The difference between cash received from sales and other sources,
and cash outflow for labor, material, overhead, and taxes.
✔✔Present value - ✔✔The sum, in current value, of all future cash flows of an
investment proposal.
✔✔Strategic Sourcing - ✔✔The development and management of supplier relationships
to acquire goods and services in a way that aids in achieving the needs of a business.
✔✔Sourcing - ✔✔A process suitable for procuring products that are strategically
important to the firm.
✔✔Request for proposal - ✔✔A solicitation that asks for a detailed proposal from a
vendor interested in supplying an item
✔✔Vendor-managed inventory - ✔✔When a customer allows the supplier to manage
the inventory policy of an item or group of items.
, ✔✔Forward buying - ✔✔A term that refers to when a customer, responding to a
promotion, buys far in advance of when an item will be used.
✔✔Bullwhip effect - ✔✔The variability in demand is magnified as we move from the
customer to the producer in the supply chain.
✔✔Continuous replenishment - ✔✔A program for automatically supplying groups of
items to a customer on a regular basis.
✔✔Functional products - ✔✔Staples that people buy in a wide range of retail outlets,
such as grocery stores and gas stations.
✔✔Innovative products - ✔✔Products such as fashionable clothes and personal
computers that typically have a life cycle of just a few months.
✔✔Stable supply process - ✔✔A process where the underlying technology is stable.
✔✔Evolving supply process - ✔✔A process where the underlying technology changes
rapidly.
✔✔Logistics - ✔✔The art and science of obtaining, producing, and distributing material
and product in the proper place and in the proper quantities.
✔✔International logistics - ✔✔All functions concerned with the movement of materials
and finished goods on a global scale.
✔✔Cross-docking - ✔✔An approach used in consolidation warehouses where, rather
than making larger shipments, large shipments are broken down into small shipments
for local delivery in an area.
✔✔Outsourcing - ✔✔Moving some of a firm's internal activities and decision
responsibility to outside providers.
✔✔Free trade zone - ✔✔A closed facility (under the supervision of government customs
officials) into which foreign goods can be brought without being subject to the payment
of normal import duties.
✔✔Trading blocs - ✔✔A group of countries that agree on a set of special arrangements
governing the trading of goods between member countries. Companies may locate in
places affected by the agreement to take advantage of new market opportunities.
✔✔Third-party logistics company - ✔✔A company that manages all or part of another
company's product delivery operations.
