Which one of the following statements represents an advantage of the P system over the Q system?
A) Less safety stock is carried to achieve the same service level.
B) Orders can be more easily combined to the same supplier.
C) A P system is more suitable for quantity discounts and capacity limitations.
D) The replenishment intervals can be more easily individualized for items.

Question

Quizplus · Accepted Answer

The P system, or periodic review system, allows for orders to be placed at regular intervals, which can facilitate combining orders to the same supplier, potentially reducing ordering costs and improving efficiency.

Which One of the Following Statements Represents an Advantage of the P