Which of the Following Statements Represents the Primary Function of Inventory

question 81

Multiple Choice

Which of the following statements represents the primary function of inventory?

• A) Make products available while minimizing total carrying cost
• B) Realize economies of scale while minimizing total carrying cost
• C) Reduce ordering cost while minimizing total carrying cost
• D) Buffer against delivery time while minimizing total carrying cost

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Definitions:

Indifference Curve

An illustration representing a consumer's preference equilibrium between two products, indicating no preference difference.

Slopes Downward

Describes a line or curve on a graph that decreases in value as it moves from left to right, often used in the context of supply and demand curves.

Concave

Describes a shape or curve that is curved inward, resembling the inner surface of a sphere or circle.

Indifference Curves

Graphical representations showing combinations of goods or services that give a consumer equal satisfaction and utility.