The Minimum Level of Inventory a fiRm Keeps on Hand

question 349

Multiple Choice

The minimum level of inventory a firm keeps on hand at any given time is called its:

• A) Net working capital in inventory.
• B) Shortage cost.
• C) Economic order quantity.
• D) Safety stock.
• E) Reorder point.

---

Definitions:

Paired Fins

Appendages found on fish that are used for stabilization, steering, and propulsion through the water.

Chondrichthyes

The class of cartilaginous fishes that includes the sharks, rays, and skates.

Lungs

Main organs of the respiratory system, involved in the exchange of oxygen from the atmosphere with carbon dioxide from the blood.

Evolved

A term referring to the process by which species undergo gradual changes in their genetic composition and traits over generations, often in response to environmental pressures.