An Item Must Be Added to Inventory to Support New

question 317

Multiple Choice

An item must be added to inventory to support new business. Which of the following inputs should be considered to determine minimum inventory level?

• A) Consumption rate
• B) Qualified supplier
• C) ABC classification
• D) Number of sales transactions

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Definitions:

Scope of Strategic Fit

The alignment between an organization's strategies, capabilities, and the external environment to ensure efficiency and effectiveness in achieving goals.

Company Success

The achievement of desired financial and strategic goals by a company, often measured by profitability, market share, and growth.

Company Failure

Refers to the cessation of business operations due to financial insolvency, bankruptcy, or inability to sustain operational costs.

Scope of Strategic Fit

Refers to the alignment between an organization's strategies, resources, and capabilities with the external environment to achieve competitive advantage.