Post Utme Mountain Top University 2023 Commerce Question 39

Practice objective / multiple choice question 39 from the 2023 Post Utme Mountain Top University Commerce examination.

Post Utme Mountain Top University 2023 Commerce Objective / Multiple Choice

Question 39 POST_UTME_MOUNTAIN_TOP_UNIVERSITY • 2023 • COMMERCE • objective

A company's warehousing and stock control system involves the use of a first-in-first-out (FIFO) inventory system. What is the advantage of using a FIFO system?

Answer Options

A. It reduces inventory costs

B. It minimizes stockouts

Correct Answer C. It ensures that the oldest items are sold first

D. It maximizes profits

Correct Answer

Correct Option:

It ensures that the oldest items are sold first

About This Question

This is Post Utme Mountain Top University 2023 Commerce Question 39. It is one of the objective questions from the 2023 Post Utme Mountain Top University Commerce examination.

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