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James Bond Pty Ltd Uses 960 Tonnes of a Particular

question 55

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James Bond Pty Ltd uses 960 tonnes of a particular chemical each year. Monthly usage fluctuates between 70 tonnes and 90 tonnes. The lead time for each order is six weeks and the economic order quantity is 160 tonnes. The safety stock for Bond's chemical would be:


Definitions:

Motivational State

The internal condition that activates and directs behavior towards achieving specific goals, influenced by desires, needs, and ambitions.

Homeostasis

The ability of an organism to maintain internal equilibrium by adjusting its physiological processes.

Drive-Reduction Theory

A psychological theory that posits motivation is based on the goal of eliminating uncomfortable internal states caused by unmet needs.

Homeostasis

The inclination of a biological system to preserve equilibrium by adapting to conditions ideal for survival.

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