In Setting the Reorder Point for an Item with Variable

question 46

Multiple Choice

In setting the reorder point for an item with variable demand,a service level of 95% will imply which of the following?

• A)Stockouts may occur only 5 times during the phase of 100 inventory cycles.
• B)5% of the supplier shipments will be late.
• C)There is a 0.05 probability that the forecasted demand is not accurate.
• D)The forecast demand will be accurate 95% of the time.

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Definitions:

Protected Zygote

A fertilized egg cell that is safeguarded from the external environment by physical or biochemical means.

Cell Walls

Rigid layers found outside the plasma membrane in plants, fungi, bacteria, and algae cells, providing structure, protection, and support.

Bryophytes

A group of land plants that includes mosses, liverworts, and hornworts, characterized by their life cycle stages and lack of specialized vascular tissues.

Nonvascular Gametophyte

A stage in the life cycle of nonvascular plants, such as mosses, that produces gametes without the need for a circulatory system for water and nutrients.