Multiple choice

Inventory kept on hand to help an organization get through flucuations in supply & demand is

  1. safety stock

  2. transit inventory

  3. back up inventory

  4. raw material
Reveal answer Fill a bubble to check yourself
A Correct answer
Explanation

Safety stock is extra inventory held to guard against uncertainty in supply or demand, ensuring that a company does not run out of stock during unexpected fluctuations.

Keep practicing — related questions