A buffer inventory:
A) protects against uncertainties in supply and demand.
B) is accumulated for a well-defined future need.
C) is held in anticipation of future needs.
D) covers demand that is expected in the future.
E) is carried to soften the impact of a significant price increase.

Question

Quizplus · Accepted Answer

Buffer inventory is primarily used to protect against uncertainties in supply and demand, ensuring that there is enough stock to meet unexpected fluctuations.

A Buffer Inventory