The requirements are below.Please number your answers and include your responses to all of the requirements in your initial post to get full credit.

1.What does the term "stockout" mean and why does it create problems for a company when it happens?Use examples in your explanation.

2.What does the term "spoilage" mean and why does it create problems for a company when it happens?Use examples in your explanation.

3.Describe the costs that need to be balanced when considering how many units should be ordered for each order being placed with a supplier.