When Comparing EOQ and JIT Inventory Systems, Which of the Following

question 8

Multiple Choice

When comparing EOQ and JIT inventory systems, which of the following statements is false?

• A) The EOQ approach takes the viewpoint that some inventory is necessary.
• B) The EOQ system assumes a constant order quantity.
• C) JIT argues that inventory investments should be minimized.
• D) The EOQ system focuses on acquisition and holding costs.
• E) JIT argues that safety stocks are necessary to reduce the probability of a stock shortage.

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Definitions:

Sub-waves

Secondary wave patterns that form part of a larger wave motion in physical systems, often observed in physics and engineering.

Transmitting Substance

A chemical messenger that transmits signals across a chemical synapse, from one neuron (nerve cell) to another 'target' neuron, muscle cell, or gland cell.

Sound Waves

Vibrations that travel through the air or another medium and can be heard when they reach a person's or animal's ear.

Timbre

The quality of a musical note, sound, or tone that distinguishes different types of sound production, such as voices or musical instruments.