Activity One - Inventories

Answer the following questions in sentence format and hand them in to your teacher - Refer to Assessment for Due Date. 

Hint: copy and paste the questions into a Word Document, add an appropriate heading and type your answers under each question.

1. Define inventories.

2. What are two other terms that can be used instead of inventories?
3. Do you think it is reasonable that businesses implement measures such as inspection of shopping bags?  Why?
4. Who eventually pays for loss by theft?  Give an explanation for your answer.
5. What would happen if a business holds too few inventories?
6. What would happen if a business holds too many inventories?
7. How would Coles or Woolworths know  when they have reached their reorder point on a certain item of inventory?
8. List three types of insurance that a large retail store may have.
9. Why is appropriate documentation necessary for the control of inventories?
10. Explain why storing similar items together is an effective method of controlling stock.

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