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1 Decrease in the equilibrium quantity and either an increase or decrease in the equilibrium price 2 Demand; supply 3 A decrease in the prices of inputs used by the firms

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Operational and Supply Chain Management-Quiz (1)

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Q Question 1 1 out of 1 points The inventory that companies hold to protect themselves against uncertainties in either demand or replenishment time is called:Question 2 1 out of 1 points Individual links in the supply chain can stabilize their production at the most efficient level by using: Question 3 The restocking level increases as the service level falls. Question 4 The order quantity in a periodic review system rises as the on-hand inventory falls. Question 5 2 out of 2 points In a periodic review system, if the average demand increases by 100%, the safety stock level is:

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1.Selected Answer: Answers: safety stock. safety stock. anticipation inventory. hedge inventory. smoothing inventory. 2.Selected Answer: Answers: smoothing inventory. safety stock. anticipation inventory. linkage inventory smoothing inventory. 3.Selected Answer: False Answers: True False 4. Selected Answer: True Answers: True FalseResponse Feedback: order quantity in a periodic review system = R - I where I = on-hand inventoryResponse Feedback: order quantity in a periodic review system = R - I where I = on-hand inventory 5.Selected Answer: Answers: increased by 100%. increased by 200%. increased by 100%. decreased by 50%. increased by 40%.