Tyrone runs a small retail store and buys his goods from an intermedia

QUESTION

Tyrone runs a small retail store and buys his goods from an intermediary from whom he picks them up directly. What kind of intermediary does Tyrone use?

A) manufacturer’s branch office
B) manufacturer’s sales office
C) drop shipper
D) cash-and-carry wholesaler
E) rack jobber

ANSWER

Answer: D
Explanation: D) Cash-and-carry wholesalers are limited-function wholesalers who sell mainly to small retailers, who come to the wholesaler, pay cash for a product, and carry it out.