For question 1, there is more than 1 answer, I got it wrong for just putting "saving on warehousing......" and I'm not sure if thats even right.

For question 2, the answer is not choice B ("Safety stock inventory.......") and it is not choice C ("Storage and supply disruption risks......"). The answer is between choice A and D.

For question 3, the answer is not choice A (0.00) and it is not choice B (1.00)

Question 1:

Question 2:

Question 3:

The principal motivation for Pooling is often: Saving on warehousing operational costs through economies of scale that become available in a mega-warehouse Reducing inbound frt costs from the plant to the warehouse(s) 0 0 0 Reducing outbound frt costs from the warehouse(s) to the plant Reducing total safety stock through reducing demand variability - that is, offsetting a random increase in demand in one market with a random decline in demand in another market Which of the following is generally unlikely to happen with location pooling (storing inventory in a centralized location(s) instead of operating multiple warehouses dedicated to specific markets/regions)? Outbound freight (centralized warehouse to different customer markets) costs may increase with pooling Safety stock inventory (and thus average inventory) may decline in pooled warehousing - because potential demand offsetting across different markets would reduce overall demand uncertainty experienced by the centralized warehouse, relative to that obtaining in an unpooled situation, Storage and supply disruption risks may increase with pooling Inbound freight (plant to centralized warehouse) costs may increase with pooling Which, among the undernoted inter-market demand correlations, would make pooling work most effectively in order to reduce demand uncertainty ? A correlation of 0.00 among demand in two markets A correlation of 1.00 among demand in two markets A correlation of (-)0.83 among demand in two markets A correlation of (-)0.50 among demand in two markets