Why Is Managing Inventory Important to Profit Margins

question 76

Multiple Choice

Why is managing inventory important to profit margins?

• A) Because of numerous costs associated with strategy
• B) Because of numerous costs associated with inventory
• C) Because of numerous costs associated with big data
• D) Because of numerous costs associated with logistics

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Definitions:

Arbitrage Clientele

A group of investors who seek to profit from price differentials of the same asset in different markets, without risk.

Homemade Dividends

The concept that investors can create their own dividend policy by selling a portion of their portfolio of equities, instead of relying on the company's dividend payments.

Dividend Payout

The part of a company's profits that is paid out to shareholders as dividends.

Corporate Dividend

The distribution of a portion of a company's earnings, decided by the board of directors, to its shareholders.