MANAGEMENT

Detailed explanation-1: -Holding costs are costs associated with storing unsold inventory. A firm’s holding costs include storage space, labor, and insurance, as well as the price of damaged or spoiled goods.

Detailed explanation-2: -Inventory holding costs are calculated as part of the total inventory costs within a single supply chain. Costs include warehousing, insurance, labor, transportation, depreciation, inventory shrinkage, damaged or spoiled inventory, obsolescence, and opportunity costs.

Detailed explanation-3: -Answer and Explanation: Order processing is considered in the order costs, however, holding costs differ. Holding costs represent the expenses associated with holding onto inventory. If orders are being processed, it no longer impacts holding costs.

Detailed explanation-4: -Ordering, holding, carrying, shortage and spoilage costs make up some of the main categories of inventory-related costs.