Which of the following is the best method for managing the stock of fresh milk in a supermarket? (A) Just-in-time (B) First-in-last-out (C) Last-in-first-out (D) First-in-first-out - HSC - SSCE Business Studies - Question 8 - 2015 - Paper 1

To effectively manage the stock of fresh milk, it is crucial to ensure that the oldest stock is sold first to prevent spoilage.

Among the options:

• Just-in-time focuses on receiving goods as close to their sale time as possible, which may not be effective for perishable items like milk.
• First-in-last-out suggests that the most recently acquired stock should be sold first, which is not suitable for fresh milk.
• Last-in-first-out is not ideal as it would mean selling the newest stock first, potentially leading to spoilage of older items.
• First-in-first-out (FIFO), however, ensures that the oldest stock is utilized first, minimizing waste and maintaining product freshness.

Thus, the best method is (D) First-in-first-out.