Cycle inventory is required as:
A) One or more stages in the operation cannot supply all the items it produces simultaneously
B) Compensation for the uncertainties inherent in supply and demand
C) Compensation for differences in the timing of supply and demand
D) Material cannot be transported instantaneously between the point of supply and the point of demand

Question

Quizplus · Accepted Answer

Cycle inventory is required because one or more stages in the operation cannot supply all the items it produces simultaneously, necessitating the holding of inventory to manage production and distribution efficiently.

Cycle Inventory Is Required As