Identify a factor that enables management to minimize inventory levels and provide a high rate of order fulfillment.
A)Sales forecasting
B)Customer review
C)Web site popularity
D)Easy payment method

Question

Quizplus · Accepted Answer

Sales forecasting is the process by which management predicts demand for their products. By accurately forecasting sales, management is able to keep inventory levels low while still being able to fulfill orders. This prevents overstocking of products that may not sell, which in turn saves storage and maintenance costs. Additionally, a high rate of order fulfillment is possible because management has sufficient products on hand to meet demand.

Identify a Factor That Enables Management to Minimize Inventory Levels