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Inventory cost is the cost for making of saleable goods to customers and include following items Material cost labor cost overhead cost
Inventory is considered the goods that a company holds to sell to its consumers. One of the few reasons businesses keep inventory is to ensure they have a supply in the event demand increases, allowing its customers to purchase the good without a wait time.
Basically Inventory is valuated an asset. You keep inventory to service your customers and to smoothen production by purchasing semi-finished stuff. Inventory ties up your working capital hence the objective is to return your investment as soon as possible. A good measurement is the ratio of inventory turnover. Inventory becomes a liability when the life cycle ends either by becoming obsolete/discontinued or by means of expiry. Write offs are valuated as liabilities.
Trade Debtors form part of working capital - they are an asset on the balance sheet, but are NOT part of inventory. Trade debtors represent the amount owed by customers to a business for goods/services sold on credit (i.e.not sold for cash). Inventory usually represents a business's stock (also part of working capital) - there are normally 3 sub-categories of inventory, being Raw Materials, Work-in-Progress (or part-finished goods) and Finished Goods (i.e. goods ready to sell / deliver to customers). The other element of Working capital is Payables (or Creditors), which are amounts owed by the company to others, typically suppliers. Working Capital = Debtors + Inventory - Payables
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Because wholesalers buy in large quantities and delivering to customers in smaller amounts, they are able to perform physical distribution activities more effectively, including materials handling, warehousing, and inventory management.
The main benefit of using drop shipping wholesalers is that it allows one to not have to keep track of an inventory. This is so because the wholesale supplier that one is partnered with will manage the inventory.
These wholesalers maintain inventory and perform a wide variety of functions, such as providing delivery, credit, market feedback, and assistance with promotional planning.
Just-in-time is an inventory system that is considered lean. With just-in-time inventory, a business doesn't have inventory on hand for customers.
Inventory management helps businesses have the right products available for customers. Inventory management includes choosing the right suppliers for the business.
Answer is D. wholesaler
As an individual, your chances are kinda slim, if you want one in good condition at a good price. Wholesalers, dealerships, and exporters buy those up quick, and often get first crack at the inventory to cherry pick the ones they want. DEA auctions sometimes include semi trucks, but your best bet would probably be wholesaler auctioneers like Richie Brothers.
In a nutshell a lockerstock program is non-customer specific inventory. It is items where the inventory held is meant to feed various customers. As opposed to inventory that is built and held specifically to service a particular customer. Lockerstock is built and held to service more than one customer. Combining inventories allows the ability to service various customers from one SKU rather than have inventory for individual customers and various SKUs. In most cases, certain customers will have certain labelling requirements that will prevent them from being part of a lockerstock program, so it is not unusual for companies to have customer specific inventory along with their lockerstock inventory.
Businesses usually store and carry inventory in order to meet their customers' delivery requirements, when procurement of either raw materials or finished goods takes 'too long' to satisfy customers.
A good IT inventory will usually include computers and servers, as IT inventories are useful for keeping track of repair orders, customers, and other such things.
Inventory cost is the cost for making of saleable goods to customers and include following items Material cost labor cost overhead cost
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