Question: Please help, and the answer to question 1 is not choice b. Also for question 2, it is more than 1 answer, it is not

Please help, and the answer to question 1 is not choice b. Also for question 2, it is more than 1 answer, it is not multiple choice

Question 1:

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

Question 2:

Please help, and the answer to question 1 is not

The principal motivation for Pooling is often: Saving on warehousing operational costs through economies of scale that become available in a mega-warehouse 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 Reducing inbound frt costs from the plant to the warehouse(s) Reducing outbound frt costs from the warehouse(s) to the plant

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