Keeping Inventory Levels Too High Costs Money,while Running Out of It

question 102

Multiple Choice

Keeping inventory levels too high costs money,while running out of it causes _____ to suffer.

• A)customers
• B)workers
• C)sales
• D)capacity

---

Definitions:

Efficiently

The ability to achieve a goal or fulfill a function with the least waste of time and effort; maximizing productivity with minimum wasted effort or expense.

Economic Model

A simplified representation of economic processes, typically using mathematical formulas, to understand and predict economic behaviors.

Scientific Method

A systematic process of questioning, data collection, analysis, and hypothesis testing used to explore observations and answer questions.

Economic Model

A theoretical construct that represents economic processes by a set of variables and a set of logical or quantitative relationships between them.