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Term: Accounting -> Buffer
Term:

Buffer

Definition:

Buffer is anything that stands between two other things. For example, an inventory buffer would be additional inventory over and above committed or planned inventory. The inventory buffer will act as an inventory reserve to ensure that sufficient inventory is available when and if required, i.e., the buffer inventory stands between committed inventory and 'out-of-stock' status.

Related terms:

Extraordinary Items

Honorarium

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