If It Takes a Supplier Two Days to Deliver an Order

question 69

Multiple Choice

If it takes a supplier two days to deliver an order once it has been placed and the daily demand for three days has been 120,124 and 125,which of the following is the standard deviation of usage during lead time?

• A)About 2.16
• B)About 3.05
• C)About 4.66
• D)About 5.34
• E)About 9.30

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Definitions:

Treasury Shares

Shares that were issued and subsequently reacquired by the issuing corporation, but not retired, reducing the amount of outstanding stock on the open market.

Adjusted Book Value

An asset's book value after accounting for factors like depreciation, amortization, or impairment that affect its original cost.

Primary Beneficiary

The main individual or entity designated to receive the benefits from a will, trust, insurance policy, or financial plan.

Controlling Financial Interest

An interest in a business that gives the holder the power to direct its financial and operating policies, often through ownership of a majority of voting shares.