Ordering costs,holding costs,and loss in profits due to stockouts are effectively controlled in ________.
A) prototype stores
B) incremental budgeting
C) zero-based budgeting
D) inventory management

Question

Quizplus · Accepted Answer

Inventory management involves managing the flow of goods in and out of the business, including ordering, storing, and tracking inventory levels. Effective inventory management includes controlling the costs associated with ordering and holding inventory, as well as minimizing the loss in profits due to stockouts. Prototype stores may help test new products or store layouts, but they do not directly address inventory management issues. Incremental and zero-based budgeting may help allocate financial resources, but they do not specifically focus on inventory management.

Ordering Costs,holding Costs,and Loss in Profits Due to Stockouts Are