The new manager of inventory at Bulldogs Inc. is developing an inventory control system and plans to consider establishing a safety stock. The safety stock can mitigate against all the following risks, except for * O the possibility that customers cannot find the merchandise they want due to stock out and they will go to the competitors the possibility that new competitor may open business within the company's target market area. the chance that delivery of merchandise acquired from the supplier-manufacturers may be delayed as much as two weeks

FINANCIAL ACCOUNTING
10th Edition
ISBN:9781259964947
Author:Libby
Publisher:Libby
Chapter1: Financial Statements And Business Decisions
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The new manager of inventory at Bulldogs Inc. is developing an inventory control system and
plans to consider establishing a safety stock. The safety stock can mitigate against all the
following risks, except for * O
the possibility that customers cannot find the merchandise they want due to stock out and they will go to the
competitors
the possibility that new competitor may open business within the company's target market area.
the chance that delivery of merchandise acquired from the supplier-manufacturers may be delayed as much as
two weeks
the probability that sales may fluctuate, due to various variables such as holidays and peak seasons, weather,
advertising and marketing, and customer buying habits
Transcribed Image Text:The new manager of inventory at Bulldogs Inc. is developing an inventory control system and plans to consider establishing a safety stock. The safety stock can mitigate against all the following risks, except for * O the possibility that customers cannot find the merchandise they want due to stock out and they will go to the competitors the possibility that new competitor may open business within the company's target market area. the chance that delivery of merchandise acquired from the supplier-manufacturers may be delayed as much as two weeks the probability that sales may fluctuate, due to various variables such as holidays and peak seasons, weather, advertising and marketing, and customer buying habits
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