Question detail
SolarSprout serves tourists while improving quality control; the case evidence includes average order value of ?5,441, sales of 966 units, and a 18% change in costs or demand. Which option best applies Evaluate just in time stock management for a given business?
Try the question, check the answer, then read the explanation to understand the curriculum point.
At a glance
MCQ
Type
practice
Style
Topic
The role of procurement
Question
- A. Use stock, just in time to judge average order value, local community impact, and the business objective in Managing stock.
- B. Give only a definition of The role of procurement without using the case evidence.
- C. Treat gross and net profit as identical and ignore the effect on local community.
- D. Choose the largest sales figure without checking costs, finance, or context.
Answer
The correct option is: Use stock, just in time to judge average order value, local community impact, and the business objective in Managing stock.
Explanation
This is the best-supported choice because Use stock, just in time to judge average order value, local community impact, and the business objective in Managing stock. The case evidence gives ?6,941, 966 units, and 18%, so the answer must explain the commercial effect rather than repeat a definition. The distractors are weaker because they confuse gross and net profit, miss the local community, or ignore the business objective.
Common mistake
Managing stock common mistake 1
Giving a vague answer instead of directly addressing: Evaluate just in time stock management for a given business..
Answer by clearly explaining how to evaluate just in time stock management for a given business..
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