The Reorder Point Is Computed by Multiplying the Service Standard

question 79

True/False

The reorder point is computed by multiplying the service standard by the order lead time.

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Definitions:

Infrastructure

The basic physical and organizational structures needed for the operation of a society or enterprise, such as roads, bridges, water supply, and electric grids.

Communications Facilities

Infrastructure and equipment used for the transmission, emission, or reception of signs, signals, writing, images, sounds, or information of any nature by wire, radio, optical, or other electromagnetic systems.

Industrial Plants

Facilities that contain machinery and equipment for manufacturing or processing goods and materials.

Lack of Infrastructure

Refers to the insufficiency or absence of physical and organizational structures and facilities required for the operation of a society or enterprise.