The proper quantity of safety stock is typically determined by
a. minimizing an expected stockout cost
b. carrying sufficient safety stock so as to eliminate all stockouts
c. meeting 95% of all demands
d. setting the level of safety stock so that a given stockout risk is not exceeded
e. minimizing total costs
Answer: D
ISDS 3115
- All of the following are advantages of enterprise resource planning (ERP) except it
- Which of the following regarding enterprise resource planning (ERP) is true?
- Which of the following is false concerning enterprise resource planning (ERP)?
- Enterprise resource planning (ERP)
- Enterprise resource planning (ERP)
- By convention, the top level in a bill of material is
- Distribution resource planning (DRP) is
- Which of the following statements regarding MRP in services is true?
- The extension of MRP which extends to resources such as labor hours and machine hours, as well as to order entry, purchasing, and direct interface with customers and suppliers is
- MRP II is accurately described as
- If a load report (resource requirements profile) shows a work center scheduled beyond capacity
- Capacity planning in closed-loop MRP
- A firm makes numerous models of mowers, garden tractors, and gasoline powered utility vehicles. Some assemblies and parts are common to many end items. To relieve the MPS of performing order releases on these common parts, the firm might choose to use the __________ technique.
- Which of the following statements regarding lot-sizing is true?
- An item's holding cost is 60 cents per week. Each setup costs $120. Lead time is 2 weeks. EPP is
- For the lot-sizing technique known as lot-for-lot to be appropriate
- What lot-sizing technique is generally preferred when inventory holding costs are extremely high?
- Which of the following statements is true about the MRP plan when using lot-for-lot ordering?
- Which of the following lot-sizing techniques results in the lowest holding costs?
- Which of the following best differentiates material requirements planning (MRP) from finite capacity scheduling (FCS)?
- Material requirements plans specify
- One of the tools that is particularly useful in reducing the system nervousness in the MRP system is (are)
- One of the tools that is particularly useful in reducing the system nervousness in the MRP system is (are)
- In MRP, system nervousness is caused by
- Linking a part requirement with the parent component that caused the requirement is referred to as