Back 99322 Mid TermExam.docx Section one: True and False Questions and please circle the correct answer (each question 5 marks). 1. Too much inventory damages customer confidence and Too little inventory reduces profitability. a. True b. False Element of Competency Contribute to control of the level of stocks. 2. Inventory is the collection of unsold products waiting to be sold. a. True b. False Element of Competency Contribute to control of the level of stocks. Collaborate on warehouse management 3. Ordering cost of inventory refers to the cost incurred for procuring inventory. True a. b. False Element of Competency Contribute to control of the level of stocks. 4. According to Generally Accepted Accounting Principles (GAAP), inventory is not a current asset. a. True b. False Element of Competency Contribute to the level of stocks. Collaborate on warehouse management