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Which of the Following Is a Possible Consequence of a Business

Question 1

Multiple Choice

Which of the following is a possible consequence of a business having too high a level of inventory?


A) Trade payables are likely to be too low
B) Too much cash is released into the working capital cycle
C) Customers may go elsewhere
D) If inventory is perishable, it may reach the end of its shelf life before it can be sold.

Correct Answer:

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