A Company Wants to Determine Its Reorder Point (R)

question 28

Multiple Choice

A company wants to determine its reorder point (R) . Demand is variable and the company wants to build a safety stock into R. If the average daily demand is 12, the lead time is 5 days, the desired z value is 1.96, and the standard deviation of usage during lead time is 3, which of the following is the desired value of R?

• A) About 6
• B) About 16
• C) About 61
• D) About 66
• E) About 79

Grasp the principles of social cognitive theory, including its main components and applications.

Identify the process and benefits of behavior modelling training for skill development and workplace behavior improvement.

Recognize the importance and mechanisms of self-regulation in achieving personal goals and enhancing safety in the workplace.

Understand the components and significance of organizational behavior modification and its impact on workplace performance and safety.

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Definitions:

Medicaid Coverage

A joint federal and state program in the United States that helps with medical costs for some people with limited income and resources.

Patient Protection And Affordable Care Act

United States federal statute enacted in 2010 aimed at expanding health insurance coverage, lowering healthcare costs, and improving healthcare system efficiency and patient care.

National Health Insurance

A program in which a nation’s government provides a basic package of health care to all citizens at no direct charge or at a low cost-sharing level. Financing is out of general tax revenues.

Nonprice Rationing

Refers to the distribution of goods and services based on criteria other than price, such as waiting times or ration coupons.