Which of the Following Is Not an Example of Safeguarding

question 36

Multiple Choice

Which of the following is not an example of safeguarding inventory?

• A) storing inventory in restricted areas
• B) physical devices such as two-way mirrors, cameras, and alarms
• C) matching receiving documents, purchase orders, and vendor's invoice
• D) returning inventory that is defective or broken

---

Definitions:

Finished-Goods Inventories

Stock of completed products ready for sale or shipment to customers, held by a company at any given time.

Annual Holding Cost

The total expenses associated with storing inventory over the course of a year, including warehousing, insurance, spoilage, and obsolescence.

FedEx

A multinational delivery services company known for its overnight shipping service and pioneering a system that could track packages and provide real-time updates on package location.

Facility Cost

Expenses related to the physical buildings, utilities, and equipment required to operate a business.