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Marley Company Hired a Consultant to Help Improve Its Operations

Question 5

Multiple Choice

Marley Company hired a consultant to help improve its operations.The consultant's report stated that Marley's inventory levels are excessive and cited several negative consequences to Marley as a result.Which of the following consequences was not cited in the report?


A) Possible other uses for working capital now tied up in inventory
B) Production stoppages due to parts not being available
C) Higher property taxes and insurance costs
D) Large quantities of obsolete materials

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