All of Following Are True of Learning Curves EXCEPT

question 39

Multiple Choice

All of following are true of learning curves EXCEPT:

• A) they are not used for a pricing strategy.
• B) they are affected by the ratio of manual to machine work.
• C) 80 percent learning curves exhibit a step initial decline and then level off.
• D) they are used in defense industries.

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Definitions:

Inventory Classification

The process of categorizing inventory items based on their importance, such as ABC analysis which ranks items by their impact on total inventory cost.

Fixed Quantity Systems

Inventory control systems where a fixed amount of inventory is reordered when stock levels reach a certain point.

Fixed Period Systems

An inventory management strategy where orders are placed at fixed intervals, regardless of the current stock level.

Perpetual Inventory System

A system that keeps track of each withdrawal or addition to inventory continuously, so records are always current.