Question

Krisp Bite, a breakfast cereal manufacturer, has a storage facility to store sugar, corn, wheat, oats, rice, and barley before they are processed into cereal. In the context of operations management, Krisp Bite uses the storage facility to store its _____.
A) throughputB) information systemsC) contingency systemsD) inventory

Answer 1

Answer:

D) inventory

Explanation:

Inventory: Inventory is the stock of the company. It passed through various cycles i.e. raw material, work in progress, finished goods. When the cycle is finished then the product is ready to sell in the market.  

Moreover, the recording of the stock is done based on the cost or market value whichever is lower.  

In the given question, operation management uses the storage facility. So, the storage facility is used to store the inventory. Here, the storage facility means the warehouse in which the company products are kept for safety measurement.

Thus, all other options are incorrect except D option