Question

Which of the following is not an example of safeguarding inventory? a.storing inventory in restricted areas b.returning inventory that is defective or broken c.physical devices such as two-way mirrors, cameras, and alarms d.matching receiving documents, purchase orders, and vendor's invoice

Answer 1

Answer: Option B

       

Explanation: Safeguarding inventory refers to keeping proper records of inventory and protecting it from any kind of damage that may result in loss to the organisation.

The main objective behind safeguarding inventory is to minimize loss of the organisation that is keeping it.

In the given case, second option is the purchase return and it could not be considered a default of the purchaser of inventory.

Hence from the above we can conclude that the correct option is B.