1) Safety stock is not considered as a part of average inventory in (Q,R) policy. True False 2) If the per-order cost decreases in EOQ model (while other parameters stay the same), the optimal order quantity would increase. True False 3) The HP case discussion shows a successful implementation of delayed differentiation. True False 4) When inventory is replenished only in fixed intervals, base stock policy or (s,S) policy are appropriate models. True False 5) Risk pooling would be more effective when the demands are positively correlated. True False