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With D is the annual demand (units), S is cost per order, H is annual carrying cost per unit; the formula for Economic Order Quantity is....?A . √(D*S/2H) B. √(2D*S/H) C. √(D*S*H) D. √(D*S/3H)View AnswerAnswer: B Explanation: LO 2, AC 2.3

An organisation always obtains negative cash flow regarding removal and disposal of assets. Is this statement true?A . No, the organisation may recover the value of the assets by reselling it B. Yes, the organisation incurs high maintenance cost during the disposal processes C. Yes, some assets require enormous decommissioning...

Which of the following allow an organisation to have more flexible space for storage by leveraging the facilities of other parties? Select TWO that apply.A . Eliminating dead stock or inventory B. Temporary warehousing C. Installing double-deep pallet racking D. Consignment stocking E. Adopting carousel-type storageView AnswerAnswer: B, D Explanation:...

Which of the following costs does the EOQ minimise?A . Total cost of safety stock B. Total cost of ordering inventory C. Total cost of annual inventory cost D. Total cost of carrying stockView AnswerAnswer: C Explanation: Economic order quantity (EOQ) was developed in 1913 by Ford W. Harris and...

The ABC approach involves classifying inventory items by unit cost, with expensive items classified as ‘A' items and low cost items classified as ‘C' items. Is this statement true?A . Yes, 'A' items represent approximately 20% of total unit prices B. Yes, 'C' items with the lowest unit prices are...

To test the product durabilityA . 1 and 2 only B. 3 and 4 only C. 2 and 3 only D. 1 and 4 onlyView AnswerAnswer: C Explanation: It would be really convenient if we could just hand our products directly to the customers, but that’s not possible. Packaging needs...