Question: 1. Smaller order quantities would result in _______ average inventory. a. higher b. lower c. no change in 2. Suppose that EOQ=187 units per order,
1. Smaller order quantities would result in _______ average inventory.
a. higher b. lower c. no change in
2. Suppose that EOQ=187 units per order, ROP=40 units, daily demand = 20 units. We should place an order when the inventory on-hand drops to ______ units.
a. 187 b. 40 c. 20 d. 800 e. 60
3. The safety stock of an item tends to be _______ if the items daily demand is quite uncertain.
a. lower b. higher
4. Larger safety stock would make the average inventory level ___________.
a. higher b. lower c. unchanged
5. Suppose a linear program is feasible. If a constraint is removed, then the new linear program will always be still feasible.
a True b. False
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