Which category of inventory holding costs has a much higher percentage than average for rapid-change industries such as PCs and

Question

AfilCa [17]

2 years ago

7

Which category of inventory holding costs has a much higher percentage than average for rapid-change industries such as PCs and

cell phones

Business

1 answer:

Y_Kistochka [10] · Answer 1 · 2022-10-05T21:27:51+03:00

Based on the information given, the category of inventory holding costs that are illustrated include pilferage, scrap, and obsolescence.

Holding costs simply means the costs that are associated with the storage of unsold inventory.

The inventory holding costs that have a much higher percentage than average for rapid-change industries such as PCs and cell phones are pilferage, scrap, and obsolescence.

Others such as housing costs, labor costs, parts costs, etc have a lower percentage.

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