Post Utme Coal City University 2025 Commerce Question 26

Practice objective / multiple choice question 26 from the 2025 Post Utme Coal City University Commerce examination.

Post Utme Coal City University 2025 Commerce Objective / Multiple Choice
Question 26 POST_UTME_COAL_CITY_UNIVERSITY • 2025 • COMMERCE • objective

A firm is considering implementing a new inventory management system that uses a just-in-time (JIT) approach. The firm has conducted a cost-benefit analysis and found that the new system will reduce inventory costs but may also increase the risk of stockouts. What is the primary consideration that the firm should take into account?

Answer Options

Correct Answer A. The potential increase in stockouts
B. The reduction in inventory costs
C. The impact on the environment
D. The impact on the firm's reputation
Correct Answer
A
Correct Option:
The potential increase in stockouts

About This Question

This is Post Utme Coal City University 2025 Commerce Question 26. It is one of the objective questions from the 2025 Post Utme Coal City University Commerce examination.

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