1. what would likely happen most immediately to an EOQrecommendation if bank lending rates (cost of capital) rise?
A. The EOQ does not consider lending rates (cost of capital) andwould therefore not be affected at all.
B. The EOQ would likely most immediately decrease
C. The EOQ would likely most immediately increase
D. The EOQ is pretty robust and should not be affected
2. phantom(ghost) inventory is created when:
A. physical stock is greater than computer stock
B. all of the above reflect phantom inventory
C. physical stock is less than computer stock
3. what would likely be the most appropriate inventoryprioritization system for a hospital stockroom?
A. VED
B. FSN
C. Substitutability
4. I stocked and sold 5 units of my product today to the 5customers who showed up.
I stocked and sold 10 units of my product yesterday but stockedout and had to turn away a customer.
What is my average CSL over the 2 days?
A. 45%
B. 0%
C. 50%
5. Which of the following costs is most likely NOT aholding (carrying) cost (a holding cost would vary directly as afunction of the amount of inventory in stock)?
A. Depreciation on the capital investment on warehouse equipment(such as forklifts, conveyor belts, robots, air-conditioningplants)
B. Warehouse leasing cost (current warehouse is just ½ full)
C. Costs for regular inspection of warehouse inventory (hourlywages)
1. what would likely happen most immediately to an EOQ recommendation if bank lending rates (cost of capital) rise? A. T
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