An unexpected increase in product demand can lead to:
A) A depletion of finished goods inventories
B) A depletion of raw materials inventories
C) Increased overtime and transportation expenses
D) Both a and b
E) All of the above

Question

Quizplus · Accepted Answer

A,B and C can occur due to an unexpected increase in demand.Both raw material and finished goods inventories can be depleted,and meeting the demand can require overtime production and expedited shipping.

An Unexpected Increase in Product Demand Can Lead To