____ Decides How Much Inventory Should Be Kept on Hand

question 18

Multiple Choice

____ decides how much inventory should be kept on hand by the business.

• A) Finance manager
• B) Operations/production manager
• C) Marketing manager
• D) Human resource manager

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Definitions:

Marginal Product

The additional output that is produced by using one more unit of a particular input while holding other inputs constant.

First Worker

The initial employee hired in a startup or new business venture, often taking on multiple roles and responsibilities.

Marginal Product

The extra production achievable by incorporating an additional unit of a particular input, assuming all other variables remain constant.

Average Product

The output per unit of input, calculated by dividing total output by total input.