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Maintaining safety stock will usually: Multiple Choice reduce the risk of stock outs. decrease a firms average inventory. increose o firms ordering cost decrease the EOQ
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Maintaining safety stock will usually - reduce the risk of stock outs.

Safety stock inventory, sometimes called buffer stock, is a term used by inventory managers to describe a level of extra stock that is maintained to mitigate risk of stock outs or (shortfall in raw material or finished goods) due to uncertainties in supply and demand. Many companies look at their own demand fluctuations and assume that there is not enough consistency to predict future variability.

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