Question

27.which of the following factors are taken into consideration while selecting the types of the process?

		the amount of finished goods produced and total cost
		the amount of finished goods produced and the level of product standardization
		the level of standardization and total cost
		total cost
		none of the above

28.

Assume that you are the director of inventory management in a hotel. For 1/2 gallon milks, it is known that lead time is 2 weeks, the demand is normally distributed with a mean of 3000 units, and the standard deviation is 200 units per week. You also know that the desired cycle-service level is 95%. Calculate the safety stock and reorder point for 1/2 gallon milks.

		165 and 4000
		165 and 4165
		329 and 3329
		129 and 3129
		none of the above

Answer 1

Q27)

While selecting the type of process, the following factors are taken into consideration.

the amount of finished goods produced and the level of product standardization

> Product standardization tells about how unique or customized the product is. The volume of goods and the customization required, together determine the production process to be chosen.

Q28)