#19? For the same cycle service level and the same standard deviation of demand,

Question

#19? For the same cycle service level and the same standard deviation of demand, which of the following inventor systems would result in the most safety stock? Continuous review: lead time = 13 days, average lime between orders = 3 days Periodic review: lead time = 0 days, review period = 10 days Periodic review: lead time = 7 days, review period = 7 days Periodic review: lead time = 1 day, review period = 1 day Continous review: lead time = 8 days, average time between orders = 12 days Which of the following is the best approach to reconcile EOQ with JIT? Decrease setup cost Increase holding cost Change number 2 in the EOQ formula to 0.0000099 Decrease demand Suppose that you are using a continuous review system. If on-hand inventory is 400 units, there is a scheduled receipt for 300 units, there is a backorder for 500 units, the reorder point is 300 units, and the EOQ based on holding and setup costs is 1000 units, how many units should be ordered? 700 0 800 600 1000 200 300

Explanation / Answer

19. option A is right answer.

it helps to minimize the set upt costs

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