Principles & Practice - Ch.3

Practice Management

The inventory manager's goal is to not exceed the average shelf life of an item, which ____ months?

three months

The number of times inventory turns over in a practice in a specified time is referred to as ___/___?

Inventory Turnover Ratio/ Inventory Turns

Employee records should be kept for at least ___ years after the employee leaves

1-3 years

High inventory turnover indicates?

a. that you are ordering too many drugs; they are becoming outdated before they can be used and must be discarded

b. an efficient and well-run pharmacy

c.that too much space and capital are tied up in inventory

b. an efficient and well-run pharmacy

The most economical amount of a particular product to order, calculated by factoring in a fixed cost, carrying cost, and purchase price, is know as the ?

a. restocking cost

b. economic order quantity

c. rollover quantity

d. cost-reversal quotient

b. economic order quantity