Lead Time for Computers Is 7 Days with Daily Demand

question 2

Multiple Choice

Lead time for computers is 7 days with daily demand of 5 computers and a safety stock of 1 day.Each kanban holds 8 computers.What is the correct number of kanbans?

• A)4.5
• B)1
• C)5
• D)7
• E)8

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Definitions:

Barriers to Entry

Restrictions or obstacles that prevent new competitors from easily entering an industry or area of business.

Unlimited Market Power

A hypothetical situation where a company or entity can set the market price for its product without any competitive constraint.

Monopolists

Entities that hold exclusive control over the production and sale of a particular good or service, eliminating competition in the marketplace.

Barriers to Entry

Barriers consisting of financial, bureaucratic, or legal hindrances that restrict the entry of new players into a market or business sector.