ENTREPRENEURIAL OPERATIONS
INVENTORY MANAGEMENT
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Question
[CLICK ON ANY CHOICE TO KNOW THE RIGHT ANSWER]
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____ is a target inventory of what you think youwill need to keep in stock.
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Vendors
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Target inventory
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Model inventory
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Money
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Explanation:
Detailed explanation-1: -Use the FIFO approach (first in, first out) In order to keep inventory up to date, your stock should be sold in the same order that it was purchased or created. This is known as the FIFO approach-first in, first out. Using this approach will help you avoid selling old products that may be damaged or expired.
Detailed explanation-2: -The primary reason for holding stock is to generate revenue through the sale of goods and services. To avoid the risk of a stock-out occurring and the subsequent potential towards lost sales, a company will typically hold some level of stock on hand. This is generally referred to as buffer or safety stock.
There is 1 question to complete.