Reference no: EM132152462
1. Tier 2 suppliers are primary suppliers to manufacturers. True or False?
2. Which of the following statements is TRUE regarding tier 1 suppliers?
A. Tier 1 suppliers are the starting point of a supply chain.
B. Tier 1 suppliers are the primary suppliers to tier 2 suppliers.
C. Tier 1 suppliers are the primary suppliers to retailers.
D. Tier 1 suppliers are the primary suppliers to manufacturers.
3. Company A fails to satisfy some 15% of customers’ orders last month. What is Company A’s in-stock probability?
A. 15%
B. 85%
C. 100%
D. Cannot be determined
4. A wide and short density function has a large ____________ relative to the _________.
A. standard deviation, mean
B. standard deviation, outcome
C. mean, standard deviation
D. mean, outcome
5. Store A uses the newsvendor model to manage its inventory. Demand for its product is normally distributed with a mean of 500 and a standard deviation of 300. Store A purchases the product for $10 each unit and sells each for $25. Inventory is salvaged for $5. What is its maximum profit?
A. $5000
B. $7500
C. $8000
D. $12,500