Test: Inventory Control - 1 - Mechanical Engineering MCQ

1,2 and 3

1,3 and 4

2, 3 and 4

1,2, 3 and 4

1,2,3 and 4

1,2, 3 and 5 ‘

2, 3, 4 and 5

1,3, 4 and 5

item quality

unit price

annual rupee volume

the number of units on hand

timing and cost of orders

quality and cost of orders

timing and quantity of orders

order quantity and service level

If the ordering cost were to double, the EOQ would rise.

if annual demand were to double, the EOQ would rise.

If the carrying cost were to increase, the EOQ would fall.

All of the above statements are true.

what is the lowest amount of inventory necessary to satisfy a certain service level

what is the lowest purchasing price

whether to use fixed-quantity or fixed order policy

how many units should be ordered

replace failed units with good ones

eliminate the possibility of a.stockout

eliminate the likelihood of a stockout due to erroneous inventory tally

control the likelihood of a stockout due to the variability of demand during lead time

it involves higher ordering costs than the fixed quantity inventory system

additional inventory records are required

the average inventory level is decreased

since there is no count of inventory during the review period, a stockout is possibl

carrying costs and ordering costs

relevant costs and ordering costs

carrying costs and total costs '

relevant costs and total costs

holding cost is more than ordering cost

holding cost is less than ordering cost

holding cost is equal to ordering cost

holding cost is two times the ordering cost