The stock reserve or buffer stock is a quantity of stock that every company maintains for the unexpected supply and demand. However, it is very difficult to decide the right amount of stock that should be maintained a high stock reserve is maintained there will be more waste and if less stock reserve maintained then there is a risk of shortage. In accounting terms, stock reserve is considered as a current asset.
Stock reserve or buffer stock is a stock quantity which is based on the normal average expected consumption during the lead-time to replenish depleted stock.
eAnswers Team
The stock reserve or buffer stock is a quantity of stock that every company maintains for the unexpected supply and demand. However, it is very difficult to decide the right amount of stock that should be maintained a high stock reserve is maintained there will be more waste and if less stock reserve maintained then there is a risk of shortage. In accounting terms, stock reserve is considered as a current asset.
H.P.Dubey
Stock reserve or buffer stock is a stock quantity which is based on the normal average expected consumption during the lead-time to replenish depleted stock.