OSCM 306 Flashcard Ch 12

Front

Dairy items, fresh fruit, and newspapers are items that:

Back

Are subject to deterioration and spoilage

Front

Daily usage is exactly 60 gallons per day. Lead time is normally distributed with a mean of 10 days and a standard deviation of 2 days. What is the standard deviation of demand during lead time?

Back

60 times 2

Front

In the A-B-C classification system, items which account for 60 percent of the total dollar volume for few inventory items would be classified as:

Back

A items

Front

In a supermarket, a vendor's restocking the shelves every Monday morning is an example of:

Back

Fixed order intervals

Front

Which one of these would not be a factor in determining the reorder point? Variability of demand, Demand or usage rate, Lead time, The EOQ

Back

The EOQ

Front

In the A-B-C classification system, items which account for 15 percent of the total dollar volume for a majority of the inventory items would be classified as:

Back

C items

Front

When carrying costs are stated as a percentage of unit price, the minimum points on the total cost curves:

Back

Do not line up

Front

Which of the following is typically the largest of all inventory costs? Holding cost, Purchase cost, Pipeline cost, Ordering cost

Back

Purchase cost

Front

Average demand for a particular item is 1,200 units per year. It costs $100 to place an order for this item, and it costs $24 to hold one unit of this item in inventory for one year. If the fixed-order-interval model is chosen in this instance, how often (on average) will this item be ordered?

Back

Once a month

Front

What would be the total daily costs for Ann Chovies, owner of the Perfect Pasta Pizza Parlor, including the cost of the pepperoni, if she orders 80 pounds of pepperoni at a time?

Back

$64.10