drid 20 pounds, with a stundard deviation = 3 pounds. The delivery time is 2 days om Q18. operates a afe and needs to order coffee beans from a supplier. "The ve with a standard deviation = 0.3 dars, Jason can place an order any time, and he decides the tity 75 pounds. What is the rewarder point if he wants to keep a 95% service level? (A) 52 (B) 51 (C) 57 (D) 60 Q 16. A real manages the inventory based on a periodic review system with a review pero an order the retailer finds that the current inventory position is negative. Which of the following 7 days and the order-up-to kw!= 100 units. The retailer can place an order today. Before placing statements is TRUE? (A) The on-hand inventory must be negative. (B) The backorder must be positive. (C) The border inventory must be Q 17. A clothing store has annual demand = 3,000 units, and the demand is stable without variabil. ity: The unit ordering cost is $100, the product cost is $50, and the annual holding cost percentage (D) The order quantity must be 100. is 20%. The supplier of the clothing store is willing to offer a 10% discount on each unit if the store purchases at least 250 units in cach order. What is the optimal order quantity? (A) 240 (B) 244 (C) 250 (D) 258 Q 18. Which of the following is a reason for the bullwhip effect? (A) Low product quality of the suppliers (B) Risk of natural disasters (C) Insufficient information systems to share demand information (D) Large product variety Questions 19, 20, 21, 22, and 23 are based on the following problem description. AutoBoha is a robot arm vending machine selling boba tea. The average processing time of the machine to make a cup of boba tea is 3 minutes. The coefficient of variation for the processing time is 0.5. On average, there are 17 customers purchasing the boba ten (and we assume that each customer only buys a cup of tea) in an hour. The coefficient of variation for the arrivals is 2. Q 19. What is the utilization of the machine? (A) 75% (B) 80% (C) 85% (D) 90%