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NEW QUESTION 50
What advantages could there be to holding excessive inventory?

Answer:

Explanation:
Holding excessive inventory can reduce the impact of extended lead time. i.e. by saving the buying organization from downtime, reputation loss, and also it can generate revenue for the organization if there is a sudden increase in demand.

NEW QUESTION 51
Which Incoterm applies here?
The supplier is responsible for delivering the goods to the buyer's premises include arranging any custom clearances that applies, bearing all risk up until this point.

• A. DDP - Delivery Duty Paid
• B. FAS - Free Alongside Ship
• C. DAT - Delivered At Terminal
• D. DAP - Delivered At Place

Answer: A

NEW QUESTION 52
Which Incoterm applies here?
The supplier is responsible for delivering the goods directly onto the vessel that will transport them to their named destination. As soon as the goods are on the vessel, the risk transfers to the buyer

• A. DAP - Cost and Freight
• B. FOB - Free On Board
• C. FAS - Free Alongside Ship
• D. CIF - Cost Insurance and Freight

Answer: B

NEW QUESTION 53
What is Decommissioning?

Answer:

Explanation:
When a fixed asset reaches the end of its life, it requires decommissioning before reconditioning or disposal.
Decommissioning is to observe all the safety measures and technical procedures and stop active machinery or an asset from operation (example; gas plant, power generator, transformer etc.
Decommissioning process include the following aspect
1) Preparation: Plan the process
2) Dismantle: Take the asset apart and remove hazardous waste
3) Processing: make safe any hazardous waste
4) Disposal: Ensure paper work is received to confirm removal and disposal

NEW QUESTION 54
......

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