A firm can vary supply of product by controlling

Question

Quizplus · Accepted Answer

A firm can vary supply of a product by controlling its inventory levels. By increasing or decreasing the amount of inventory, the firm can adjust the quantity supplied to the market. Increasing the inventory levels will increase the supply of the product, while decreasing inventory levels will reduce the supply. Pricing and revenue are related to demand rather than supply, and therefore cannot be used to control supply directly.

A Firm Can Vary Supply of Product by Controlling