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Which of the Following Statements Relating to Inventory Levels and Finance

Question 9

Multiple Choice

Which of the following statements relating to inventory levels and finance is correct?


A) Money tied up in inventories is an opportunity cost.
B) Businesses have to balance money invested in inventory to ensure no missed sales whilst not over-investing.
C) Overstocked businesses may find it is difficult to sell the inventory due to poor buying decisions.
D) All of the above statements are correct.

Correct Answer:

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