The EOQ model without the instantaneous receipt assumption is commonly called the: quantity discount model.

1. The EOQ model without the instantaneous receipt assumption is commonly called the:

quantity discount model.

safety stock model.

planned shortage model.

production run model.

none of the above.

2. Which of the following is not a use of inventory

the decoupling function

the translucent function

an inflation hedge

allows for quantity discounts

to avoid stock outs and shortages

3. Daniel Trumpe has computed the EOQ for a product he sells to be 400 units; however, due to recent events he has a cash flow problem. Therefore, he orders only 100 units each time he places an order. Which of the following is true for this situation

Total ordering cost will be higher than total holding cost.

Total ordering cost will be lower than total holding cost.

Total ordering cost will equal total holding cost.

Nothing can be determined without more information.

None of the above.

4. Determining the most efficient allocation of resources to the production of goods, etc., is characteristic of the LP problem type known as:

production scheduling.

labor planning.

assignment.

blending.

none of the above.