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Which of the following assumptions can be made in the simulation ? A. The inventory costs depend both on holding inventory in stock, and on

Which of the following assumptions can be made in the simulation ?

A. The inventory costs depend both on holding inventory in stock, and on being short of inventory.

B. The level of future demand is not affected when inventory is not available to meet the demand in earlier periods.

C. Ordering is done randomly in this simulation.

D. The reorder point does not affect the inventory level and the cost.

Please tell me how A can be an answer.

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