Question 1 1 pts Select advantages of inventory from the following list. Inventory helps companies to meet demand quickly. Inventory protects against demand volatility Inventory allows companies to maintain near-constant production. Inventory can lose its value over time Question 2 2 pts What are the primary trade-offs captured in the Economic Order Quantity (EOQ) Model? Variable Cost of Units Revenue Fixed Cost When Placing Orders Inventory Cost Question 3 1 pts A retailer spends on average, $36 million annually on purchasing its products to sell (COGS -- cost of goods sold). On average, the company has $4 million in current inventory. What is the retailer's annual inventory turnover? Question 4 1 pts An electronics retailer is looking at its current inventory of all of its models of TV. One of the models has 20 units of inventory and they sell 5 units per day. How many days of inventory do they have? Question 5 4 pts Enrique Rojas is a new hire at a start-up online retailer. At a recent department meeting, the company president tasked him with managing purchasing and inventory for the ten products that generate the most revenue for the company. They don't yet have a warehouse; so they leverage Amazon.com's warehousing services to store their products and fulfill orders. Which of the following, if true, would lead Enrique to increase the quantity of products ordered (to go to the warehouse to await being sold)? The company secures warehouse space that's cheaper than their storage at Amazon.com's facilities The company starts shipping more products by air instead of by land and sea The lead time on orders increases The company negotiates an exclusivity contract with their shipping provider to get lower rates as demand for their products increases and they give more business to the shipping provider The demand for the company's products increases The company gets a new purchasing software platform that allows them to spend less time placing orders with their suppliers Question 6 3 pts Lilo is trying to figure out some information about her competitors. They lease space in the same warehouse she uses; and she has noticed that their inbound shipments are about half as large as hers. Lilo believes her competitors use the same supplier and ordering technology, leading to a very similar order cost. What can you infer about demand for Lilo's products compared to the demand for Lilo's competitors' products? Specifically, how many times larger is demand for Lilo's products compared to the demand for her competitors' products? D Question 7 2 pts An online retailer experiences a daily demand of 20 units on a product with an inventory cost of $2.50/unit/year. The company experiences a cost of $35 every time they place an order. The online retailer is open for business 365 days per year. What is their economic order quantity (EOQ)? Directions: This data sufficiency problem consists of a question and two statements, labeled (1) and (2), in which certain data are given. You have to decide whether the data given in the statements are sufficient for answering the question. Using the data given in the statements, plus your knowledge of mathematics and everyday facts (such as the number of days in July or the meaning of the word counterclockwise), you must indicate whether. - Statement (1) ALONE is sufficient, but statement (2) alone is not sufficient to answer the question asked. - Statement (2) ALONE is sufficient, but statement (1) alone is not sufficient to answer the question asked - BOTH statements (1) and (2) TOGETHER are sufficient to answer the question asked, but NEITHER statement ALONE is sufficient to answer the question asked. EACH statement ALONE is sufficient to answer the question asked. - Statements (1) and (2) TOGETHER are NOT sufficient to answer the question asked, and additional data specific to the problem are needed. Question: Previously, I've always found it optimal to order 1500 units whenever I place an order. But I've just upgraded some of my systems to lower the fixed cost I experience with each order. How many units should I purchase when I place an order? Statement (1): My demand remains 500 units per week, and my inventory holding cost remains $5.59/unit/year. Statement (2): The fixed cost I experience with each order I place was reduced by 25%. Statement (1) ALONE is sufficient, but statement (2) alone is not sufficient to answer the question asked. O EACH statement ALONE is sufficient to answer the question asked. Statement (2) ALONE is sufficient, but statement (1) alone is not sufficient to answer the question asked, BOTH statements (1) and (2) TOGETHER are sufficient to answer the question asked, but NEITHER statement ALONE is sufficient to answer the question asked. Statements (1) and (2) TOGETHER are NOT sufficient to answer the question asked, and additional data specific to the problem are needed