Which of the Following Is an Example of a Risk

question 198

Multiple Choice

Which of the following is an example of a risk cost that would be considered a part of inventory costs?

• A)costs due to possible loss, damage, pilferage, or obsolescence
• B)costs such as insurance and taxes that are present in many states
• C)warehousing space and materials handling costs
• D)opportunity costs resulting from tying up funds in inventory instead of using them in other more profitable investments

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Definitions:

Falling Asleep

The transition from wakefulness to sleep, characterized by gradual decrease in consciousness and responsiveness to external stimuli.

Alertness

The state of being watchful and ready to respond quickly to potential danger or opportunities.

Sleepier

The state or quality of feeling or being more inclined to sleep or tiredness.

Awake

The state of being conscious, alert, and aware of one's surroundings.