Below please see the Cash Flow Lost and Inventory Investment Table and accompanying Figure from…
Below please see the Cash Flow Lost and Inventory Investment Table and accompanying Figure from Chapter 8 Order Management and Customer Service. Which of the answers is true, based on the provided information?
Group of answer choices
It is cost prohibitive for this company to have a service level greater than 83%
A flatter inventory investments to cash flow lost curve implies adding more inventory will not make much of an improvement in cash flow lost
A steeper inventory investments to cash flow lost curve implies adding more inventory will greatly improve cash flow lost
This company should continue to add inventory until 100% customer service (no lost cash flow) is reached