Inventory shrinkage ___________.
A)refers to another name for inventory turnover
B)refers to the fact that more items are recorded entering than leaving warehousing facilities
C)refers to situations where the size and/or volume of inventory is decreased over time
D)refers to a technique of stabilizing unit loads by using shrink wrap packaging

Question

Quizplus · Accepted Answer

Inventory shrinkage refers to the discrepancy between the actual physical count of inventory and the amount recorded in the inventory system. This often occurs due to theft, damage, or errors in recording inventory movements, leading to more items being recorded as entering than actually leaving warehousing facilities.

Inventory Shrinkage ___________