What Are the Two Types of Costs Associated with Inventory

question 190

Multiple Choice

What are the two types of costs associated with inventory?

• A) Holding costs and selling costs
• B) Stock-out costs and holding costs
• C) Shipping and handling costs and holding costs
• D) Overstock costs and stock-out costs
• E) Holding costs and tracking costs

---

Definitions:

Schemas

Cognitive frameworks or structures that help individuals organize and interpret information based on their experiences.

Stereotype Threat

The risk of confirming negative stereotypes about an individual's racial, ethnic, gender, or cultural group.

Self-fulfilling Prophecies

Predictions that directly or indirectly cause themselves to become true, due to positive feedback between belief and behavior.

Actor-observer Bias

A cognitive bias where individuals attribute their own actions to external factors, while they attribute others' actions to internal traits or characteristics.