Question: For a managerial R / Q model with a fixed in - stock service level, how does an increase in the order quantity impact the
For a managerial RQ model with a fixed instock service level, how does an increase in the order quantity impact the safety stock?
Group of answer choices
no impact
higher order quantities lead to fewer orders and fewer potential failures, safety stock must decrease
no change as long as we reoptimize for Q
safety stock will now exceed the reorder point.
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