Which of the following is not true for basic fixed-order quantity model? Group of answer choices Price per unit of product is constant Reorders are placed when inventory level reaches to reorder point Demand is constant Order quantity varies Lead time is constant N

Fixed-order quantity models are very useful when lead time is variableGroup of answer choicesTrueFalse

Economic Order Quantity is the quantity ordered to minimise the total purchase cost of the inventory.Group of answer choicesTrueFalse

Which one of the following uses Pareto principle? Group of answer choices ABC classification model Single-period inventory model Fixed-order inventory model Price-break model Fixed-time inventory model

Which of the following is not a factor to affect the size of the inventory?Group of answer choicesHolding cost of inventorySales volumeFrequency of orderDiscount offered from the suppliersNone of the above

Every month our family business adds $700 worth of goods to our inventory. Which is true?Group of answer choicesThis is a constant rate of growth.This is a variable rate of growth.This is neither a constant nor variable rate of growth.No conclusion on the rate of growth can be made.