A Pearson Correlation of R = +0

question 31

Multiple Choice

A Pearson correlation of r = +0.9 indicates that a graph of the data would show

• A)points clustered close to a line that slopes up to the right.
• B)points clustered close to a line that slopes down to the right.
• C)points widely scattered around a line that slopes up to the right.
• D)points widely scattered around a line that slopes down to the right.

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Definitions:

Safety Inventory

A surplus of stock that is kept on hand to protect against unforeseen increases in demand or delays in supply.

Fill Rate

The percentage of customer or order demand that is met from available stock without backorders.

Continuous Review

A method of inventory control that constantly monitors stock levels and reorders when inventory drops to a predetermined point.

Periodic Review

A systematic evaluation process conducted at regular intervals to assess performance or condition over a period.