order splitting can be beneficial because

QUESTION 1 Order splitting can be beneficial because purchase costs can be reduced as a result of quantity discounts. customer demand variability can be reduced. lead time variability can be reduced. unit stockout costs can be reduced. QUESTION 2 Safety stocks O are held to buffer against demand and lead time uncertainty. are held to reduce the cost of placing orders. should be zero if firms want to minimize costs. are the same as cycle stocks