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1. close to, increased
2. close to, reduced
3. away from, reduced
4. Can't be determined
Option number two is correct. " 2. close to, reduced"
This is called FSN classification model of storing of goods.
Here I would like add something that you can not keep a item close to receiving as well as shipping area at once. Preferably fast moving item are placed near to shipping area to reduce the movement during shipping hence to increase the efficiency.
close to, reduced. the reason being faster turnaround time for shipping. save time in Putaway, picking.
close to, reduced.......................................
I fully agree with the answers been added by EXPERTS...............Thanks.
my answer is option " 2 " .