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    Fundamentals Of Corporate Finance Study Set 21
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    Exam 20: Credit and Inventory Management
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    The Minimum Level of Inventory a Firm Keeps on Hand
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The Minimum Level of Inventory a Firm Keeps on Hand

Question 33

Question 33

Multiple Choice

The minimum level of inventory a firm keeps on hand at any given time is called its:


A) Net working capital in inventory.
B) Shortage cost.
C) Economic order quantity.
D) Safety stock.
E) Reorder point.

Correct Answer:

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