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    Fundamental Accounting Principles Study Set 1
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    Exam 22: Master Budgets and Planning
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    A Quantity of Inventory That Provides Protection Against Lost Sales
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A Quantity of Inventory That Provides Protection Against Lost Sales

Question 126

Question 126

Multiple Choice

A quantity of inventory that provides protection against lost sales caused by unfulfilled demands from customers is called:


A) Budgeted stock.
B) Just-in-time inventory.
C) Capital stock.
D) Continuous inventory.
E) Safety stock.

Correct Answer:

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