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Step2247 [10]
3 years ago
6

Zara has developed the practice of delivering less merchandise to its stores on a more frequent basis. This quick response syste

m is called a(n) Multiple Choice a) indirect marketing channel. b) just-in-time inventory system. c) conventional marketing channel. d) vertical marketing system.
Business
1 answer:
Nikolay [14]3 years ago
3 0

Answer:

(B) Just-in-time inventory system

Explanation:

*Just-in-time inventory system" is a system used to cut costs such as holding or storage costs and it improves efficiency and reduces wastage as some products may be damaged during storage.

This system involves quick delivery of the required quantity of goods to stores right when they are needed and just before they go out of stock. It helps to eliminate the cost of storage that would result if goods are purchased in large quantities.

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Ending Balance of Assets in 2017...........................................................$77760

Add: Depreciation........................................................................................$2534

Less: Beginning Balance of Assets.........................................................($72884)

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Cash flow to creditors

Ending Balance of Creditors...................................................................$6790

Less: Beginning Balance of Creditors.................................................$6299

Less: Purchases (From Inventory)........................................................$8184

Cash Flow to AP............................................................................................$7693


Purchases from Inventory:

Ending Balance of Inventory....................................................$21912

Add: Cost of Goods Sold................................................................$6781

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Purchases......................................................................................$8184

Cash flow to stock holders:

While Preparing Accounting Equation for 2017 as below:

Assets-Liabilities=Eq Shareholders

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While Preparing Accounting Equation for 2018 as below:

Assets-Liabilities=Eq Shareholders

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Net Income for 2018

Sales                                 18918

Less:  Dep                         (2534)

Less: COGS                       (6781)

Less:Other Exp                  (1203)

Less: Interest                     (1350)

Net Income before tax     7050

Less Tax..............................(1480)

Net Income.....................5569.5

Beginning Balance of Shareholders...................................................$76399

Add: Net income....................................................................................$5569.5

Less: Dividend.........................................................................................($2364)

Less: Ending Balance...........................................................................($78866)

Cash to Shareholders........................................................................$738

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