Which of the Following Is an Advantage of the ABC

question 12

Multiple Choice

Which of the following is an advantage of the ABC system of inventory control?

• A) Recognizes that stock outs on low margin items may be as critical for customers as stock outs on high margin items.
• B) Prevents high demand items from being out of stock.
• C) Smoothes demand and, therefore, inventory withdrawal.
• D) Relates the opportunity costs due to poor inventory management to the cost of inventory control.
• E) Allows management to focus more equally on higher value inventory as well as on lower value items.

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Definitions:

Acid-Fast Bacilli

Bacteria that are resistant to decolorization by acid-alcohol after being stained with certain dyes, used in the diagnosis of tuberculosis.

Reagent Strips

Thin strips used for chemical analysis or testing, commonly in urine tests, to detect substances or changes in the body.

Chemical Properties

Characteristics of a substance that become evident during or after a chemical reaction, such as flammability, toxicity, pH, and reactivity with other chemicals.

Clean-Voided Urine

Urine collected midstream during urination to minimize contamination from the external genitalia.