Safety inventory is carried because demand forecasts are accurate and a product shortage may result if the forecast demand exceeds the actual demand.
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Q2: The coefficient of variation measures the size
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Q4: Raising the level of safety inventory increases
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Q8: The appropriate level of safety inventory is
Q9: Order fill rate is the fraction of
Q11: Raising the level of safety inventory increases
Q11: Lead time is the gap between when
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Q18: For the same safety inventory,an increase in
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