Analysis should include
- conducting inventory
- comparing the current inventory/physical counts to the inventory records on file
- summarizing trends
- evaluating inventory turnover
- evaluating inventory data to determine the most efficient inventory levels for agribusiness operations.
Process/Skill Questions:
- Why is it necessary for a business to analyze its inventory records?
- What should an inventory analysis include?
- How can inventory be used as collateral for loans?
- What are problems related to excess inventory at the end of the fiscal year?
- What is just-in-time inventory control?
- What specific tools or formulas are available to evaluate the health of the business?
- How is the efficient level of inventory determined?