What Is the First Step in Merchandise Management Planning

question 46

Multiple Choice

What is the first step in merchandise management planning?

• A)developing a forecast for sales
• B)execution of the plan
• C)develop a business plan
• D)determine the appropriate inventory levels
• E)penetrating a pricing strategy

---

Definitions:

Oldest Purchases

This refers to the oldest inventory items purchased first, often related to the first-in, first-out (FIFO) inventory management method.

Specific Identification

A method of inventory costing that identifies and assigns the actual cost to each individual item of inventory.

High-cost Items

Products or services that have a significant purchase price or maintenance cost.

Periodic Inventory System

An inventory system where inventory levels and the cost of goods sold are updated in the accounting records periodically, often at the end of an accounting period.