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Which of the following is an example of a positive externality?
Controlling Inventory Levels
A strategy used in operations management that aims at maintaining optimal levels of inventory to meet demand while minimizing carrying costs and stockouts.
Variable Costing
An accounting method that only allocates variable costs to inventory, treating fixed costs as period expenses.
Contribution Margin
The amount by which the selling price of an item exceeds its variable costs, contributing towards covering fixed costs and generating profit.
Sales Personnel
Individuals in an organization responsible for selling products or services to customers, often including roles such as sales representatives, sales managers, and sales directors.
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