Unlike Ordering Cost, Setup Cost

question 23

Multiple Choice

Unlike ordering cost, setup cost:

• A) includes the costs of completing paperwork, making phone calls, and getting competing bids.
• B) is the cost of keeping inventory until it is used or sold.
• C) is the cost of changing or adjusting a machine so that it can produce a different kind of inventory.
• D) is also known as carrying or storage cost.

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