Inventory carrying cost can can be reduced by transportation of goods by Air.

False                                  .

Agree with majority answer <<<<<<<<<<<<

False: Inventory carrying cost can be reduced by transportation of goods by Sea. Reducing inventory cost is buying products in bulk quantity by containers and must be shipped by Sea waters ways.

This statement is false, because carrying is the holding cost of inventory.

FALSE

Of course misTransport of goods unrelated to the inventoryInventory is Maitalq warehouse in stores this costThe cost of transport is another

No,

FALSE Air transport cannot reduce carrying cost.

Transportation is part of ordering costs and not Carrying / Holding costs. As such shipment mode has no direct impact on Carrying cost.

However goods are transported by air only in case of urgency or in case of perishable goods. As such the cost of air freight is feasible only where long lead-time is not an option and the customer is known to be willing to accept those air-freight costs.

As such logically the goods transported by air tend to have a need for urgency to be delivered to the customer and as such they do tend to have lower holding costs. These goods are time-critical and may not be saleable if they are not delivered on time.