______________ is a lot sizing technique that orders for multiple demand periods is referred to as
A) Lot-for-lot (L4L)
B) Periodic order quantity (POQ)
C) Economic order quantity(EOQ)
D) Multiple order quantity (MOQ)

Question

Quizplus · Accepted Answer

The technique that orders for multiple demand periods is referred to as Periodic order quantity (POQ). The POQ method combines the benefits of the EOQ and L4L methods. It calculates an order quantity that will cover the demand for a fixed period, usually several weeks or months, considering the reorder point, carrying costs, and setup costs. This method is suitable when demand for the product is relatively stable, and the costs of ordering, holding, and setting up are constant over time.

______________ Is a Lot Sizing Technique That Orders for Multiple