1.

Assertion (A)There should be a balance in level of inventory maintained in warehouse.Reasoning (R)Higher level will increase the cost of carrying inventory and lower level will make difficult to fulfill demanda) Both are correct and (R) is the correct explanation of (A)b) Both are correct but (R) is not the correct explanation of (A)c) Both statements are incorrectd) (A) is correct but (R) is incorrect

Answer»

Correct option is a) Both are correct and (R) is the correct explanation of (A)

Balanced level of inventory will cover demand and carrying cost both.



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