Question :   6) Producing extra inventory during periods of low demand, which : 2066009

 

6) Producing extra inventory during periods of low demand, which is then consumed during periods of high demand is known as

A) production smoothing.

B) production hedging.

C) production buffering.

D) production stocking.

7) In fixed time period inventory models, inventory is reordered

A) as required.

B) when stock reaches a predetermined level.

C) at regular time intervals.

D) at midnight—when time is fixed.

8) Manufacturers of seasonal demand products who manufacture the product throughout the year, so as to build up an inventory buffer to be used during the high demand season are using a technique called

A) production smoothing.

B) production hedging.

C) production buffering.

D) production stocking.

9) Manufacturers that order supplies from their vendors every Monday in order to stabilize purchasing and shipping schedules are using a

A) fixed time period model.

B) continuous review model.

C) Monday ordering model.

D) inventory buffer model.

10) Inventory that has been received and is in the production phase is known as

A) raw material inventory.

B) work-in-process inventory.

C) make-to-stock inventory.

D) make-to-order inventory.