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the greater the risk of running out of stock, the smaller the safety of stock.
the larger the opportunity cost of the funds invested in inventory, the larger the safety stock.
the greater the uncertainty associated with forecasted demand, the smaller the safety stock.
the higher the profit margin per unit, the higher the safety stock necessary.
The higher the profit margin per unit, the higher the safety stock necessary to maintain the uninterrupted production capacity.
>>>>>>> the higher the profit margin per unit, the higher the safety stock necessary.
..................................................The higher the profit margin per unit, the higher the safety stock necessary.
the higher the profit margin per unit, the higher the safety stock necessary<<<<<>>>>>
Answer is the higher the profit margin per unit, the higher the safety stock necessary ???????????????
My answer is same as experts, which is choice (D)
All of the above. Is correct.
the greater the risk of running out of stock , the larger the safety stock needed
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the higher the profit margin per unit, the higher the safety stock necessary...
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