How does controlling inventory impact a firms profitability

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1. Why is it important for the financial manager to understand the inventory control techniques used by production/operations managers? How does controlling inventory impact a firm's profitability?

2. What role does the ABC system play in inventory control? What group of inventory items does the EOQ model focus on controlling? Describe the objective and cost trade-off addressed by the EOQ model.

Reference no: EM131316911

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