Which Statement Is Most Accurate When Thinking About Deciding How

Multiple Choice

Which statement is most accurate when thinking about deciding how much to buy::

A) managers seldom make purchase decisions until they are absolutely sure of the volume required.
B) balancing price, volume, carrying cost, and the cost of stockouts is key to successfully determining how much to buy at any point in time.
C) forecasts of future demand, lead times, and prices are usually fairly accurate.
D) the costs of placing orders and holding inventory are so low they do not significantly affect the decision of how much to buy
E) the price premium to attain the desired quantity is usually less than the costs of not having materials available when needed.