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Question 59

Which of the following activities best describes the functionality of decoupling stock within firms' inventory systems?

    Correct Answer: C

    Decoupling stock is inventory maintained to buffer against variations and uncertainties in demand and supply. This enables different parts of the production and distribution process to operate independently, managing shifts in demand and avoiding disruptions. Hence, maintaining inventory to accommodate uncertainty in demand at different geographical positions best describes the functionality of decoupling stock within firms' inventory systems.

Discussion
DarkStryderOption: C

answer should be C.