Bill Is in Charge of the Inventory for Home Builder's

question 88

Multiple Choice

Bill is in charge of the inventory for Home Builder's Supply.As an inventory item gets low,he is to restock the item by a quantity that minimizes the total inventory costs for that item.What is this restocking quantity called?

• A)short order quantity
• B)refill unit quantity
• C)economic order quantity
• D)minimum stock level
• E)re-order limit

---

Definitions:

Market Prices

The current value or cost of a commodity, security, or service as determined by supply and demand in the open market.

Continually Fluctuating

Refers to constant changes or instability in values, prices, or conditions, often seen in financial markets or economic indicators.

Efficient

Being efficient refers to achieving maximum productivity with minimum wasted effort or expense.

Tremendous Competition

A highly competitive market condition where numerous competitors strive intensely to win market share.