Which of the Following Statements with Regards to Inventory Management

question 15

Multiple Choice

Which of the following statements with regards to inventory management under uncertainty is true?

• A)Stockouts may occur because the lead time for filling orders is usually positive.
• B)If the lead time between placement of an order and its delivery is zero,the presence of uncertainty is a problem.
• C)If the lead time between placement of an order and its delivery is zero,the presence of uncertainty is not a problem.
• D)Stockouts may occur because the lead time for filling orders is usually positive and if the lead time between placement of an order and its delivery is zero,the presence of uncertainty is not a problem.

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Definitions:

Société Anonymes

A French term for a public limited company, characterized by having its shares offered to the public and managed by a board of directors.

France

A country located in Western Europe known for its rich history, culture, and contributions to art, science, and philosophy.

Shareholders

Individuals or entities that own one or more shares of stock in a corporation, making them partial owners of the company.

Legal Persons

Entities, such as corporations or governmental bodies, that are recognized by law as having rights and responsibilities similar to natural persons.