Choose the Word or Phrase in [ ] Which Will

question 128

Short Answer

Choose the word or phrase in [ ] which will correctly complete the statement. Select A for the first item, B for the second item, and C if neither item will correctly complete the statement.
-Your house has a replacement value of $120,000.Your HO policy has an 80% co-insurance clause.In order to receive full compensation if your house is totally destroyed,you must carry insurance for [$96,000 | $120,000].

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Definitions:

EOQ

Economic Order Quantity, a formula used in operations management to determine the optimal order size that minimizes the total inventory holding costs and ordering costs.

Push Inventory

A strategy where products are produced or supplied based on projected demand rather than actual customer orders.

Zero Inventories

An inventory management approach aimed at minimizing stock levels, often associated with Just-In-Time (JIT) manufacturing systems.