Risk Pooling Enables a Lower Total Inventory Level Without Affecting

question 322

Multiple Choice

Risk pooling enables a lower total inventory level without affecting service levels based on which of the following assumptions?

• A) Inventory turnover ratio can be reduced.
• B) Aggregate demand is more accurate than disaggregate demand.
• C) The planning time fence can be adjusted as needed.
• D) The supplier shares some risk for holding inventory.

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