Table 15.4 Bowring Ball Bearings Has 10 Different Items in Its Inventory

question 227

Multiple Choice

Table 15.4
Bowring Ball Bearings has 10 different items in its inventory. The average number of units held in inventory and the average unit cost are listed for each item. The firm uses an ABC system of inventory control
-In the EOQ model, ________ costs are the fixed clerical cost of writing a purchase order, processing the paper work, and verifying the invoice.

• A) basic
• B) order
• C) carrying
• D) processing