Suppose a large retail chain is considering increasing the number of distribution centres that serve its retail stores from $6$ to $20.$ If the

$u$ retail outlets, and customers remain unchanged, which of the following statements accurately describes what will happen$-$as a result of $t$

Multiple Choice

Outbound transportation costs from the warehouses increase, and total transportation costs will increase.

Profit margins will increase proportionately to the percentage of new inventory.

Inbound transportation costs to the warehouses will decrease.

Total inventory in the warehouse system will increase.