Moderate

Drop shippers perform which of the following functions ?

Correct answer: A. Assumes title and ships coal, lumber or heavy equipment to a buyer

  • A. Assumes title and ships coal, lumber or heavy equipment to a buyer
  • B. Stocks the bread rack in a grocery store
  • C. Maintains, owns and stocks a CD display in a grocery store
  • D. Sells jewelry out of a catalog

Explanation

Drop shippers take title to goods but do not normally keep them in inventory; they arrange shipment directly to the buyer. This suits bulky products such as coal, lumber, and heavy equipment.

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