The Automotive Service Association is a leading organization for owners and managers of automotive services businesses. Go to the association's website and read the article on improving inventory control by Rick Lavely. It can be found at https://www.asashop.org/autoinc/march/invntctr. htm. Lavely discusses different ways an auto shop can determine inventory profitability.
a. According to the article, how can an owner/ manager determine the cost to order? What does cost to order imply for selling parts from inventory?
b. At the end of the article, the author gives five basic rules for inventory control. List these rules. Do you agree that they are good rules to live by?