Which One of the Following Statements Is True

question 4

Multiple Choice

Which one of the following statements is true?

• A)The level of safety stock maintained decreases when the desired cycle-service level increases.
• B)The level of safety stock maintained decreases when the standard deviation of demand during lead time increases.
• C)In a fixed period inventory system, the value of Q is kept the same from one cycle to another.
• D)When demand is uncertain and no safety stock is maintained, stock outs will occur during approximately 50 percent of the cycles.

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Definitions:

Personality Type Theory

A framework or approach for analyzing and categorizing individual differences in personality based on identifiable patterns of behavior and thought.

John Holland

An American psychologist renowned for developing the theory of career choice based on personality types.

Realistic

Pertaining to acknowledging and dealing with facts or situations as they truly are, without idealism.

Conventional

Adhering to established norms, standards, or traditions; often suggesting a lack of novelty or innovation.