In Determining the Number of Facility Locations, the Lowest Total

question 9

Multiple Choice

In determining the number of facility locations, the lowest total cost is typically:

• A)Not the lowest cost of either transportation or inventory.
• B)Typically the lowest cost of either transportation or inventory.
• C)Not related to transportation or inventory.
• D)Difficult to generalize.

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Definitions:

Categorical

Describes variables that can take on one of a limited and usually fixed number of possible values, assigning each individual or other unit of observation to a particular group or nominal category.

Binomial Probability

Binomial Probability is the probability of observing a specific number of successful outcomes in a fixed number of trials, with each trial having the same probability of success.

Normal Curve

A symmetrical, bell-shaped curve representing the distribution of a set of data that is evenly distributed around the mean.

Point Estimate

A single value estimate of a parameter that best describes an aspect of a population based on sample data.