Which of the following is an objective of inventory management?
A)minimize the sum of ordering and carrying costs.
B)minimize ordering costs and maximize carrying costs.
C)maximize the sum of ordering and carrying costs.
D)maximize the ordering costs and minimize carrying costs.

Question

Quizplus · Accepted Answer

The objective of inventory management is to minimize the total cost associated with the inventory, which is the sum of ordering costs and carrying costs. Therefore, option A is the correct objective of inventory management. The other options either focus on minimizing only one type of cost, or maximizing costs, which is not the goal of inventory management.

Which of the Following Is an Objective of Inventory Management