ECONOMICS

Detailed explanation-1: -T/F The objective of inventory management is to minimize holding costs. False. The objective of inventory management is to minimize total cost, which includes ordering costs and sometimes purchase costs (e.g. quantity discount models).

Detailed explanation-2: -Answer and Explanation: True, inventory control is one part of minimizing holding costs and potential stock-outs.

Detailed explanation-3: -The goal of inventory management is to minimize the cost of holding inventory by helping you know when it’s time to replenish products or buy more materials to manufacture them. This helps you maintain optimal inventory levels and minimize costs.

Detailed explanation-4: -The objective of inventory management is to minimize the cost of holding inventory. The two main concerns of inventory control relate to the costs and the level of customer service.

Detailed explanation-5: -One of the main objectives of inventory management is to ensure you are always having material available whenever the production department needs them ensuring that production is not stopped or slowed down due to a lack of resources.