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1 Obsolescence is an example of which cost category?
Ordering costs
Carrying costs
Labor costs
Quality costs


2 The economic order quantity ignores
purchasing costs.
relevant ordering costs.
stockout costs.
Both 1 and 3 are correct


3 When using a vendor-managed inventory system to enhance the features of supply-chain management, a challenging issue is
problems of communication and trust.
the sharing of accurate, timely, and relevant information about sales forecasts.
potentially incompatible information systems.
All of the above

Accounting Basics, Accounting

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