Question

Faster shipping usually means

A. a less expensive shipper and lower holding costs.
B. a more expensive shipper and higher holding costs.
C. a more expensive shipper and lower holding costs.
D. a less expensive shipper and higher holding costs.

Answer 1

Answer: a more expensive shipper and lower holding costs.

Explanation: In simple words, shipping refers to the process under which an item is transferred from one place to another. Every person who wants to supply their product will surely need to do it as fast as he can.

Thus, as the general rule of market better service calls for better money, the shipper will be more expensive.

However the extra cost will benefit with the lowering of holding cost as one would need to hold the inventory fro a lesser time..