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Author Question: Managing inventories to increase net income requires companies to effectively manage costs ... (Read 77 times)

cookcarl

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Managing inventories to increase net income requires companies to effectively manage costs associated with goods for sale.

Required:

Classify the below listed items as either Purchasing CostsOrdering CostsCarrying CostsStockout Costs, Costs of Quality, or Shrinkage Costs

________a.costs of obtaining purchase approvals
________b.costs resulting from embezzlement by employees
________c.internal failure costs
________d.opportunity cost of the investment tied up in inventory
________e.costs associated with storage
________f.costs of lost sales as a result of not having an item requested by a customer
________g.freight-in charges
________h.special processing costs
________i.costs of wages for work-in-process inspections
________j.costs that result from misclassifications and clerical errors


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Marked as best answer by cookcarl on Mar 6, 2021

Amiracle

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cookcarl

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Reply 2 on: Mar 6, 2021
Great answer, keep it coming :)


cam1229

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Reply 3 on: Yesterday
Thanks for the timely response, appreciate it

 

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