Which of the following is the inventory control method that uses a targeted service level allowing for the variability of supply and demand?
A) ABC method
B) Economic order quantity
C) Just-in-time inventory system
D) Statistical inventory control

Question

Quizplus · Accepted Answer

Statistical inventory control is the only method mentioned that takes into account the variability of supply and demand by using statistical analysis to determine a targeted service level. The ABC method categorizes inventory by importance, the economic order quantity determines the optimal order quantity, and just-in-time inventory focuses on minimizing inventory levels and maximizing efficiency in the production process.

Which of the Following Is the Inventory Control Method That