The Difference Between P and Q Inventory Systems Is

question 174

Multiple Choice

The difference between P and Q inventory systems is

• A) downsizing.
• B) order spacing and order size.
• C) maximum service level.
• D) upsizing.
• E) average service level.

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Definitions:

Agricultural Liens

Security interests in farm products, such as crops or livestock, which secure payment or performance of an obligation.

Unperfected

Refers to a security interest in property that has not been properly registered or publicized, and therefore may not have priority over other claims.

Surety

A person or entity that takes responsibility for someone else's performance, such as repaying a loan, appearing in court, or fulfilling a contract.

Creditor's Risk

The risk that a creditor will not receive the outstanding debt owed by a borrower, due to the borrower's default or inability to pay.