Which of the following statements regarding aggregate planning is TRUE?

A) In a pure level strategy, production rates or work force levels are adjusted to match demand requirements over the planning horizon.
B) A pure level strategy allows lower inventories when compared to pure chase and hybrid strategies.
C) Mixed strategies in aggregate planning may utilize inventory, work force, and production rate changes over the planning horizon.
D) Because service firms have no inventory, the chase strategy does not apply.
E) A disadvantage of the option of changing inventory levels is that it forces abrupt production changes.

C

Business

You might also like to view...

A Gantt chart is a project schedule that superimposes project activities on a time line

Indicate whether the statement is true or false

Business

When the lessor pays executory costs then shifts the costs to the lessor through higher rental payments, the executory costs are not included in the calculation of minimum rental payments

Indicate whether the statement is true or false.

Business