Cycle stock inventory is intended to deal with:
A) excess costs.
B) shortage costs.
C) stockouts.
D) expected demanD.
E) quantity discounts.

Question

Quizplus · Accepted Answer

Cycle stock inventory is intended to deal with expected demand, which is why it is also known as demand or base stock inventory. It refers to the amount of inventory that a company keeps on hand to meet normal demand and replenish stock as it is sold.

Cycle Stock Inventory Is Intended to Deal With