A grocer store orders frozen hams by the rail car load in order to take advantag

Question

A grocer store orders frozen hams by the rail car load in order to take advantage of volume discounts from the processor. Typically the hams are stored in a warehouse and distributed to stores as needed. It usually takes two months for all of the hams to be sold to customers. In this scenario, hams are

speculative inventory

transportation inventory

lot-size inventory

fluctuation inventory

anticipation inventory

speculative inventory

transportation inventory

lot-size inventory

fluctuation inventory

anticipation inventory

Explanation / Answer

The correct option is lot-size inventory

Stock those outcomes at whenever point amount value rebates, shipping costs, setup costs, or comparative contemplation make it more conservative to buy or create in bigger parcels than are required for prompt purposes.

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