Consider a noninstantaneous replenishment situation in which the production rate is 100 units per day, the demand rate is four units per day, and the economic production lot size is 500 units. Which of the following statements is TRUE?
A) The average cycle inventory is fewer than 225 units.
B) The average cycle inventory is greater than 300 units.
C) The rate of buildup in cycle inventory during the production cycle is fewer than 100 units per day.
D) The rate of buildup in cycle inventory during the production cycle is greater than or equal to 400 units per day.
C
Business
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Indicate whether the statement is true or false
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Examples of liabilities include:
A) accounts payable and dividends. B) accounts payable and common stock. C) investments and note payable. D) accounts payable and note payable.
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