BUS 370 EXAM 3 QUIZ QUESTIONS WITH VERIFIED ACCURATE ANSWERS

BUS 370 EXAM 3 QUIZ QUESTIONS WITH VERIFIED
ACCURATE ANSWERS

John Deere produces riding lawn mowers before peak demand because there is a
"mismatch between downstream demand levels and upstream production capacity."
This type of inventory is
A.
hedge.
B.
anticipation.
C.
smoothing.
D.
safety stock. - Answers - Smoothing

Companies hold safety stock inventory due to
A.
mismatch between downstream partner's demand and most efficient production or
shipment volumes for upstream partner.
B.
mismatch between downstream demand levels and upstream production capacity.
C.
mismatch between timing of customer demand and supply chain lead times.
D.
uncertainty in supply or demand. - Answers - uncertainty in supply or demand.

The owner of a vending machine company has weekly stops to check the soda machine
at NC State. She checks the inventory levels and fills the machine back up to its full
restocking level.
She is using which of the following types of independent demand inventory systems?
A.
single period system
B.
continuous review system
C.
periodic review system
D.
reorder point system - Answers - periodic review system

The type of demand which comes from outside the organization, is unpredictable, and
usually forecasted is
A.
dependent.
B.