Which One of the Following Statements Is TRUE

question 5

Multiple Choice

Which one of the following statements is TRUE?

• A) Inflation but not deflation can occur even under conditions of full employment.
• B) Deflation but not inflation can occur even under conditions of full employment.
• C) Inflation or deflation can occur even under conditions of full employment.
• D) Inflation can occur even under conditions of full employment only in the long run.
• E) Inflation does not coincide with periods of high unemployment levels.

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Definitions:

Gross Requirements

The total amount of materials or components needed to manufacture a product or meet demand before considering any existing inventory.

MRP Record Calculations

Computations involved in Material Requirements Planning, a systematic approach to planning, scheduling, and inventory control to manage manufacturing processes.

Cumulative Lead Time

The sum of all lead times involved in the process of completing a product, from raw material acquisition to finished good.

Assembly

The process of putting together components or parts to form a finished product.