If the marginal reduction in order costs exceeds the marginal carrying cost of inventory, then:
A) the firm has maximized its order costs.
B) the firm has minimized its total carrying costs.
C) the firm should decrease its order size.
D) the firm should increase its order size.
Ans: D) the firm should increase its order size.
Business
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The replacement cost of an inventory item is $50. Net realizable value is $55. Net realizable value less a normal profit margin is $46. The cost of the item is $5. The inventory item would be valued at:
a) $46 b) $50 c) $51 d) $55
Business
The coming and going rule says that a principal is generally not liable for injuries caused by its agents and employees while they are on their way to or from work
Indicate whether the statement is true or false
Business