QuestionJuly 7, 2025

For class C SKUs , why is much looser inventory-control appropriate? A. Class C SKUs tend to have very low demand. B. The inventory holding cost of class C SKUs tends to be low. C. A stockout of a class C SKU is not as crucial as for a class A SKU. D. All of the above.

For class C SKUs , why is much looser inventory-control appropriate? A. Class C SKUs tend to have very low demand. B. The inventory holding cost of class C SKUs tends to be low. C. A stockout of a class C SKU is not as crucial as for a class A SKU. D. All of the above.
For class C SKUs , why is much looser inventory-control appropriate?
A. Class C SKUs tend to have very low demand.
B. The inventory holding cost of class C SKUs tends to be low.
C. A stockout of a class C SKU is not as crucial as for a class A SKU.
D. All of the above.

Solution
4.6(136 votes)

Answer

D. All of the above. Explanation 1. Analyze each option A. Class C SKUs have low demand, reducing the need for strict control. B. Low holding costs make tight control less necessary. C. Stockouts are less critical for Class C compared to Class A. 2. Determine if all options apply Each reason supports looser inventory control for Class C SKUs.

Explanation

1. Analyze each option<br /> A. Class C SKUs have low demand, reducing the need for strict control.<br /> B. Low holding costs make tight control less necessary.<br /> C. Stockouts are less critical for Class C compared to Class A.<br /><br />2. Determine if all options apply<br /> Each reason supports looser inventory control for Class C SKUs.
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