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A Retailer Uses the Percentage Variation Method in Inventory Level

Question 34

Multiple Choice

A retailer uses the percentage variation method in inventory level planning.If the store plans an average monthly stock of $400,000 and September sales are estimated at 20 percent more than average,the store's planned inventory level for September is ________.


A) $420,000
B) $440,000
C) $454,000
D) $480,000

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