Which of the Following Is an Element of Inventory Holding

question 153

Multiple Choice

Which of the following is an element of inventory holding costs?

• A)housing costs
• B)material handling costs
• C)investment costs
• D)pilferage,scrap,and obsolescence
• E)All of the above are elements of inventory holding costs.

---

Definitions:

ROE

A metric indicating how effectively a company uses shareholders' funds to generate profits.

Financial Leverage

The use of borrowing to increase the potential return of an investment.

Beta Coefficient

This is a measurement of the volatility of a stock or portfolio in comparison to the market as a whole.

Market Risk

The possibility of experiencing financial losses in investments because of events that impact the whole market or the overall economy.