Which of the Following Is a Function of Inventory

question 152

Multiple Choice

Which of the following is a function of inventory?

• A) to decouple or separate parts of the production process
• B) to decouple the firm from fluctuations in demand and provide a stock of goods that will provide a selection for customers
• C) to take advantage of quantity discounts
• D) to hedge against inflation
• E) All of the above are functions of inventory.

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Definitions:

Conditioned Stimulus

An initially neutral cue that, upon repeated pairing with an unconditioned stimulus, produces a conditioned reaction.

Positive Reinforcement

A process in operant conditioning where introducing a rewarding stimulus following a desired behavior increases the likelihood of that behavior being repeated.

Negative Reinforcement

A behavioral principle where the removal of a negative condition strengthens a desired behavior.

Desirable Stimulus

A stimulus that elicits a positive response due to its appealing nature.