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Adam is undecided whether to buy a higher volume of cleaning inventories for a better price from the suppliers or keep its existing practice of

Adam is undecided whether to buy a higher volume of cleaning inventories for a better price from the suppliers or keep its existing practice of buying as-when-needed basis. The former will require additional space to store the inventories while the latter is sufficient with the existing facility. Analyze and explain to Adam what benefits and shortcomings of these two options.

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