Which of the following is not one of the wrong reasons for investing in inventory?
A) Poor quality and material yield.
B) Extended order-cycle time from global sourcing.
C) Hedge against marketplace uncertainty.
D) Specifying custom items for standard applications.
E) Inefficient manufacturing processes.

Question

Quizplus · Accepted Answer

Hedge against marketplace uncertainty is a valid reason for investing in inventory. Poor quality and material yield, extended order-cycle time from global sourcing, specifying custom items for standard applications, and inefficient manufacturing processes are all wrong reasons for investing in inventory.

Which of the Following Is Not One of the Wrong