Which of the Following Is Generally Not True About Supply

Which of the following is generally not true about supply management and the bottom line?

A) Purchased items account for a large percentage of the cost of goods sold. Hence, a reduction in cost of purchased goods has a major impact on the bottom line
B) A Euro increase in sales is equivalent to a Euro decrease in materials cost in impacting the bottom line
C) Outsourcing allows firms to focus on their core competencies, which reduced potential for waste, which then can improve the bottom line
D) A dollar saved in materials cost is usually considered a dollar increase in profit, which directly translates into bottom line savings
E) Supply management can work collaboratively with suppliers to discover opportunities to lower costs, which ultimately improves the bottom line