In the fixed-time period model it is necessary to determine the inventory currently on hand to calculate the size of the order to place with a vendor.

Question

Quizplus · Accepted Answer

In the fixed-time period model, the order is placed at fixed intervals regardless of inventory levels. Therefore, it is necessary to determine the inventory currently on hand to calculate the size of the order needed to replenish the inventory to a desired level.

In the Fixed-Time Period Model It Is Necessary to Determine