The Materials Manager for a Billiard Ball Maker Must Periodically

question 113

Multiple Choice

The materials manager for a billiard ball maker must periodically place orders for resin, one of the raw materials used in producing billiard balls. She knows that manufacturing uses resin at a rate of 50 kilograms each day, and that it costs $.04 per day to carry a kilogram of resin in inventory. She also knows that the order costs for resin are $100 per order, and that the lead time for delivery is four days. If the order size was 1,000 kilograms of resin, what would be theaverage daily total inventory costs, EXCLUDING the cost of the resin?

• A)$5
• B)$10
• C)$20
• D)$25
• E)$40

---

Definitions:

Cross-Functional Team

A group composed of members from different departments or areas of expertise, collaborating towards a common goal.

Specialists

Professionals who have a high degree of expertise in a specific subject, field, or activity, often requiring advanced education or training.

Blind Conformity

The phenomenon where individuals comply with societal norms and rules without questioning or understanding their purpose.

Collectivist Cultures

societies or groups where people prioritize the goals and well-being of the community over individual achievements.