In MRP, Under Lot-For-Lot Ordering, Planned-Order Receipts Are

question 20

Multiple Choice

In MRP, under lot-for-lot ordering, planned-order receipts are

• A)identical to scheduled receipts.
• B)identical to net requirements.
• C)open orders (that is, ordered before the first time bucket, but not delivered yet).
• D)gross requirements.
• E)available-to-promise inventory.

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Definitions:

Interest

The charge for borrowing money or the return for lending money, expressed as a percentage of the loan amount.

Interest Rate

The percentage charged on a loan or paid on savings over a specific period, reflecting the cost of borrowing or the reward for saving.

Normal Return

The minimum profit necessary to keep a factor of production in its current use, essentially the opportunity cost of using resources.

Investment

The allocation of resources, such as capital or time, into a venture with the expectation of generating future returns.