A Standard Approach to Inventory Management Under Uncertainty Is To

question 25

Multiple Choice

A standard approach to inventory management under uncertainty is to:

• A)add a 'safety stock' to the reorder point that would have been chosen under conditions of certainty.
• B)double the economic order quantity.
• C)deliberately reorder at a time when the current inventory level is exceeded by the quantity likely to be required during the lead time.
• D)apply the certainty-based economic order quantity model.

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