The Result of an Inventory Stockout Is Usually an Increase

question 173

Multiple Choice

The result of an inventory stockout is usually an increase in

• A) inventory costs.
• B) lost sales.
• C) net profit.
• D) customers.
• E) prices.

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Definitions:

Sensory Storage

The shortest-term element of memory, where sensory information is held just long enough to be processed for basic physical characteristics.

Encoding

The process by which information is transformed into a format that can be stored in memory.

Retrieval

The process of getting information out of memory storage and back into conscious awareness, an essential component of remembering.

Working Memory

An active processing system that allows manipulation of different types of information to keep it available for current use.