The Two Major Costs Associated with Inventory Are

question 35

Multiple Choice

The two major costs associated with inventory are

• A) ordering costs and setup costs.
• B) setup costs and stockout costs.
• C) stockout costs and carrying costs.
• D) ordering costs and carrying costs.
• E) None of these.

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Definitions:

Alertness

A state of active attention and readiness to respond to stimuli or challenges presented.

Hypothalamus

A region of the brain below the thalamus that coordinates both the autonomic nervous system and the activity of the pituitary, controlling body temperature, hunger, thirst, and other homeostatic systems.

Neural System

The network of nerve cells and fibers which transmits nerve impulses between parts of the body, enabling communication between the brain, spinal cord, and other areas.

Limbic System

A complex system of nerves and networks in the brain, involved in basic emotions such as fear and pleasure, as well as drives like those related to hunger and sex.