Which of the Following Statements About Lot- Sizing Rules for MRP

question 15

Multiple Choice

Which of the following statements about lot- sizing rules for MRP is TRUE?

• A) The lot- for- lot rule minimizes inventory investment, but maximizes the number of orders placed.
• B) The periodic order quantity (POQ) rule generates a higher level of average inventory, because it creates inventory remnants.
• C) In general, the fixed order quantity rule introduces greater instability into the production process.
• D) FOQ reduces the amount of inventory on hand, by doing a better job of matching the order quantity the projected on- hand inventory quantity.

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Definitions:

Just Cause

A legal standard used to determine whether an employer's action of disciplining or dismissing an employee is justified based on the employee's conduct.

Employees' Rights

Legal rights afforded to employees, including fair wages, safe working conditions, and freedom from discrimination.

Unilateral Grievance

A grievance procedure initiated by one party, either the employer or employee, without the need for mutual agreement or negotiation.

Resolution Method

A systematic approach used to resolve conflicts or problems, often involving negotiation or formal procedures.