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The strategy for setting up partial orders. 6. Why is inventory held? For unexpected changes in customer demand (unplanned orders) Uncertainty Lead times (variability) Economies of scale from transportation All of the Above 7. The Inventory turnover ratio is: Lower as you go closer to the customer. Annual sales divided by average inventory levels. A benchmarking number used to award the Maicoim Baldridge Award. All of the Above 8. The increase in variability as we go up the supply chain is The Bullwhip True False 9. Inventory positioning is: Identifying stocking points