ENTREPRENEURIAL OPERATIONS
INVENTORY MANAGEMENT
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Question
[CLICK ON ANY CHOICE TO KNOW THE RIGHT ANSWER]
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Which among the following models is used to calculate the timing of inventory order
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EOQ MODEL
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Fixed order quantity order
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Reorder point model
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Fixed order inventory control
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Explanation:
Detailed explanation-1: -Reorder Point, Order Point. It is used in Ordering Point System (also called Fixed Size Ordering System), an inventory control method, and refers to the stock quantity to prompt the order to be released. Reorder Point is also called ROP for short, and Order Point is called OP for short, too.
Detailed explanation-2: -There are four main types of inventory: raw materials/components, WIP, finished goods and MRO.
Detailed explanation-3: -It is also called Statistical Inventory Control Method, where an order is issued at the time of reaching the Reorder Point. In this point, it is also called Fixed Size Ordering System.
There is 1 question to complete.