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:

Calculated

Done with full awareness or intentionality, often involving mathematical or strategic planning.

Microsystems

The immediate environments (such as family, school, and peer group) in which individuals interact directly and which influence their development.

Mesosystems

In ecological systems theory, the interaction between two or more settings that the developing person actively participates in, such as the connection between family experiences and school life.

Exosystems

A layer in Bronfenbrenner's ecological systems theory referring to settings that indirectly influence an individual, such as parents' workplaces.