Decisions on determining a company's optimum inventory levels have been significantly influenced by ________.
A) economic order quantity modeling
B) linear programming
C) regression analysis
D) work scheduling

Question

Quizplus · Accepted Answer

Economic order quantity modeling is a widely used approach to determine a company's optimum inventory levels. It considers various factors such as ordering costs, carrying costs, and demand rates to determine the most efficient inventory level to minimize costs while meeting customer demands. Linear programming and regression analysis may also be used, but they are not as commonly applied as economic order quantity modeling in inventory management. Work scheduling, while important for efficient operations, is not directly related to determining optimum inventory levels.

Decisions on Determining a Company's Optimum Inventory Levels Have Been