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Select the description which most closely fits the term safety stock.

1 Answer

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I believe the answer is: extra inventory of an item carried to protect against variations in demand during lead time

The value of stock is often influenced by the uncertainties that heppneed because of the amount of market supply/demand.
Investors usually buys Safety stocks if in order mitigate risk of stockouts and prevented a loss of profit.
User Fetsh
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