Inventories and other physical assets should be:
A) received and counted by the department which initially ordered it.
B) placed in service as soon as received to maximize profit.
C) received in a central receiving department before being routed to their destination.
D) reconciled and paid for prior to being routed to their destination.

Question

Quizplus · Accepted Answer

In order to maintain an efficient inventory management system, it is best to receive inventories and other physical assets in a central receiving department before being routed to their destination. This can allow for proper inspection, verification, and tracking of inventory before it is distributed throughout the organization. It also helps to prevent lost or misplaced inventory and reduces the risk of errors in inventories management.

Inventories and Other Physical Assets Should Be