Table $5.8$ Demand $= 52,000$ Units/year
Standard Deviation of Weekly Demand $= 110$

question 44

Multiple Choice

Table $5.8$
Demand $= 52,000$ units/year
Standard deviation of weekly demand $= 110$ units
Ordering costs $= \$ 45$ /order
Holding costs $= \$ 0.50 /$ unit/year
Cycle-service level $= 90 \%$
Lead time $= 2$ weeks
Number of weeks per year $= 52$ weeks
You will need to refer to a normal table to answer the question(s) .
-Use the information in Table 5.8. If the firm changed to a continuous review system, what would be the reorder point?

• A) 0 units
• B) greater than 0 but less than or equal to 1000 units
• C) greater than 1000 but less than or equal to 2000 units
• D) greater than 2000 units

Distinguish between current and long-term assets and liabilities.

Understand the basics of working capital management and its significance in financial management.

Identify various sources of short-term financing and understand their uses and costs.

Identify and classify types of assets and liabilities in a business context.

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Definitions:

Production Possibilities Frontier (PPF)

A curve depicting all maximum output possibilities for two or more goods given a set of inputs (resources), assuming all inputs are fully employed.

Economic Growth

An increase in the production of goods and services in an economy over a period of time, typically measured as the percentage increase in real gross domestic product (GDP).

Production Possibilities Frontier (PPF)

A curve depicting all maximum output possibilities for two goods, given a set of inputs.

Technology Available

Refers to the tools, devices, systems, and solutions that are currently accessible and can be used to resolve problems, improve efficiency, or enhance quality of life.