A firm is considering outsourcing its domestic production from the United States to a third-party manufacturer located

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A firm is considering outsourcing its domestic production from the United States to a third-party manufacturer located in Asia. What is the impact of offshoring on the firm’s provisions (including inventory reserves) in the balance sheet? Which financial ratios will most likely be affected by such move and how? Please explain briefly.

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Practical Finance For Operations And Supply Chain Management

ISBN: 9780262043595

1st Edition

Authors: Alejandro Serrano, Spyros D. Lekkakos, James B. Rice

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