Define economic order quantity has an annual ordering cost

Assignment Help Management Theories

Reference no: EM13795375

Question 1. Available to promise inventory is always zero for the first week in the master schedule record.

True

False

Question 2. The reorder point increases as the service level falls.

True

False
Question 3. Planning numbers are somewhat aggregated (month by month) in:

strategic planning

operational planning.

tactical planning.

detailed planning and control.

Question 4. Given the forecast and booked orders shown in the table, and a beginning inventory of 0, what is the available to promise inventory for the period 3? There are no LOT quantity constraints.

Period	1	2	3	4
Forecasted Demand	100	100	90	90
Booked Orders	103	87	54	21
Projected ending inventory
Master production schedule
Available to Promise

Question 5. A company that orders at their economic order quantity has an annual ordering cost that is half of their total cost.

True

False

Question 6. Throughout every MRP record, ending inventory is equal to the ending inventory from the previous period, plus the master production schedule quantity, minus the orders booked for that period.

True

False

Question 7. Within the context of the planning cycle, the planning that takes place at the highest levels of the firm is called:

strategic planning.

operational planning.

tactical planning.

detailed planning and control.

Question 8. If demand increases by 100%, the average inventory held in a system governed by the EOQ model:

is increased 100%.

is decreased by 100%.

is decreased by 50%.

is increased by 40%.

Question 9. Which of the following statements regarding master production scheduling calculations is best?

Forecasted demand always exceeds booked orders.

Booked orders always exceed forecasted demand.

If booked orders are greater than forecasted orders, there must be a master production schedule for that period.

If ending inventory is greater than or equal to zero, there is no master production schedule quantity for that period.

Question 10. The beef jerky driver shows up every Monday to take orders from his convenience store customers. One fine Monday morning he stops in the Quik-E Mart and notes that there are only three sticks on the shelves. Consulting his route sheet, he discovers that the restock level is 40. The order quantity is therefore:

3 sticks.

37 sticks.

40 sticks.

Cannot be determined with the information given

Reference no: EM13795375

Questions Cloud

Swirl of conflicting cross-currents : The U.S. government's expansive role in public policy is caught in a swirl of conflicting cross-currents. On the one hand, popular expectations about government's responsibility to solve problems often exceed the capacity of state and local author..

Ethical problems of gambling : Ethical problems of gambling

Write summary paper about globalization and sustainability : Write a Simple summary and response papewr about Globalization and Sustainability.

What is the surface area of a sphere : What is the surface area of a sphere of diameter 2.4 x102 cm? What is larger 4000 L or 4 x 105 cm3 and you must show your reasoning

Define economic order quantity has an annual ordering cost : A company that orders at their economic order quantity has an annual ordering cost that is half of their total cost

Problems related to bird flu research, dna and rna : Explain the main reasons DNA is the most favorable molecule for genetic material and how RNA compares to it in this respect.

Success in the criminal justice field : The ability to think critically is a key skill for success in the criminal justice field. It means not taking what you heard or read at face value, but using your critical thinking faculties to weigh up the evidence, and consider the implications ..

What is wrong with mias use of the term theory : Makayla is talking to Mia about the whether we ever landed on the Moon. Mia says," I have a theory about that." Using 3 - 4 complete sentences, what is wrong with Mia's use of the term "theory" in this instance

A metaphor for the rigidity of flatlander culture issues : Why does Abbott only consider Euclidean Geometry, and how is this a metaphor for the rigidity of "Flatlander" culture?

User Account

All Pages