QUESTION 1
1. Which of the following isnota benefit of a well-developed ERP system?
5 points
QUESTION 2
1. A stockout is a situation that occurs when there is no inventory on hand.
5 points
QUESTION 3
1. Andre Candess manages an office supply store. One product in the store is
computer paper. Andre knows that 10,000 boxes will be sold this year at a constant
rate throughout the year. There are 250 working days per year and the lead-time is
3 days. The cost of placing an order is $30, while the holding cost is $15 per box
per year. How many units should Andre order each time to minimize his annual
inventory cost?
5 points
QUESTION 4
1. The production run model is useful when the inventory is produced/delivered over
a period of time.
5 points
QUESTION 5
1. Demand for a product is constant, but the lead-time fluctuates. The demand during
the lead-time is normally distributed with a mean of 40 and a standard deviation of
4. If the company wishes to maintain a 90 percent service level, about how much
safety stock should be held? (NOTE: due to possible variations in reading the Z
value off the Normal curve appendix, choose the answer option below that is
closest to the number you obtain)
5 points
QUESTION 6
1. Infeasibility in a linear programming problem occurs when