What Does the POQ Interval Equal

question 5

Multiple Choice

What does the POQ interval equal?

• A) the number of periods of average demand covered by the safety stock
• B) the same number of periods that are on the "not to be rescheduled" side of the time fence
• C) EOQ / maximum gross requirement
• D) the number of periods until the incoming projected on hand runs out
• E) EOQ / average demand per period

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Definitions:

Overhaul

A comprehensive inspection, maintenance, and repair process to restore equipment, machines, or systems to optimum working condition.

Extraordinary Repairs

Large, infrequent expenditures that extend the useful life of an asset beyond its original forecast.

Straight-Line Method

The straight-line method is a depreciation technique that allocates an equal amount of depreciation each year over the useful life of an asset.

Accumulated Depreciation

The total depreciation of a tangible asset up to a specific date, reducing its book value.