Which of the Following Statements Regarding Aggregate Planning Is TRUE

question 88

Multiple Choice

Which of the following statements regarding aggregate planning is TRUE?

• A) In a pure level strategy, production rates or workforce levels are adjusted to match demand requirements over the planning horizon.
• B) A pure level strategy allows lower inventories when compared to pure chase and hybrid strategies.
• C) Mixed strategies in aggregate planning may utilize inventory, workforce, and production rate changes over the planning horizon.
• D) Because service firms have no inventory, the chase strategy does not apply.
• E) A disadvantage of the option of changing inventory levels is that it forces abrupt production changes.

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