One of the risks associated with holding large amounts of inventory is:
A) Obliquity
B) Obeisance
C) Obsolescence
D) Obscurement

Question

Quizplus · Accepted Answer

Obsolescence refers to the risk that inventory will become outdated or unsellable, resulting in financial losses for the company. Holding large amounts of inventory increases the risk of obsolescence, as there is a greater chance that products will become outdated before they can be sold.

One of the Risks Associated with Holding Large Amounts of Inventory