Which item would be least likely to be ordered under a fixed order interval system?
A)Textbooks at a college bookstore.
B)Parts and components for an assembly plant with high variability in output.
C)Cards at a gift shop.
D)Canned peas at a supermarket.
E)Car batteries at a "big box" retailer.

Question

Quizplus · Accepted Answer

A fixed order interval system works best for items with a consistent demand that can be accurately forecasted. Items with high variability in demand, such as parts and components for an assembly plant, are less likely to be ordered using this system. The other options have a more predictable demand and could be ordered using a fixed order interval system.

Which Item Would Be Least Likely to Be Ordered Under