Carrying Cost Is a Function of Order Size; the Larger

question 132

True/False

Carrying cost is a function of order size; the larger the order quantity, the higher the inventory carrying cost.

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Definitions:

Consumer Price Index

An index measuring the average change over time in the prices paid by urban consumers for a market basket of consumer goods and services.

Base Year

The year with which other years are compared when an index is constructed: for example, a price index.

Minimum Wage

The lowest legal hourly pay for employees, set by government law.

Unskilled Workers

Workers who possess no special skills or training and typically perform simple tasks that require minimal prior experience.