When market demand falls below maximum supply capacity,an inventory buildup can be used to help meet that demand if backordering is prohibited.

Name: When market demand falls below maximum supply capacity,an inventory buildup can be used to help meet that demand if backordering is prohibited.
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Question

Quizplus · Accepted Answer

When market demand falls below maximum supply capacity, it typically results in excess inventory, not a need to use inventory buildup to meet demand, since supply already exceeds demand.

When Market Demand Falls Below Maximum Supply Capacity,an Inventory Buildup