Which One of the Following Is Not True Regarding the Fixed

question 50

Multiple Choice

Which one of the following is not true regarding the Fixed Period System (FPS) ?

• A)The time between orders is constant, but the order quantity might vary.
• B)An order is time-triggered, not inventory-triggered.
• C)The optimal replenishment level includes the demand during the review period plus any desired safety stock.
• D)When demand is not certain, the FPS requires more safety stock than the equivalent FQS.

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Definitions:

Human Resource Productivity

The measure of how effectively the human resource department and the overall workforce generate output or achieve goals relative to input.

Labour Expenses

Costs associated with compensating employees, including wages, salaries, benefits, and taxes.

Rightsizing

Adjusting the number of employees to fit the current needs of the organization, which may involve layoffs or hiring.

Layoffs

The temporary or permanent dismissal of employees from their jobs due to economic downturns, business restructurings, or other financial reasons.