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Commerce · Q79

Costing

Graduate and Post Graduate · Commerce · question 79

Q79

Which of the following methods of stock control aims at concentrating efforts on selected items of material?

A.
Perpetual inventory system
B.
Material turnover ratio
C.
Level setting
D.
ABC analysis
Answer

Answer: Option D

Solution

Answer: Option D
Solution:
ABC analysis methods of stock control aims at concentrating efforts on selected items of material. ABC method of inventory control involves a system that controls inventory and is used for materials and throughout the distribution management.