Which One of the Following Most Closely Describes the MRP

question 22

Multiple Choice

Which one of the following most closely describes the MRP approach that is used for components or subassemblies to compensate for variations in lead time?

• A)Pegging
• B)Safety stock
• C)Increased order sizes
• D)Safety time
• E)Low-level coding

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Definitions:

Division Costs

Division costs pertain to the expenses associated with operating a specific department or division within a larger organization.

Division Revenue

The total amount of income generated from sales or services provided by a specific division within a company.

Profit Centers

Individual segments, departments, or divisions of a business that are responsible for generating their own revenue and profit, allowing for tracking and analysis of their financial performance separately from the overall company.

Profit Center

A part of an organization that directly contributes to its financial gain, often assessed on its ability to generate income exceeding its operational costs.