Comprehension
Study the following graph, showing the sales forecast for the next ten weeks, to answer these questions.
Question: 1
If the forecasted demand is met by having uniform production during the weeks at an average level, then the number of weeks during which demand will not be met is
If the forecasted demand is met by having uniform production during the weeks at an average level, then the number of weeks during which demand will not be met is
Updated On: Oct 1, 2024
- 2
- 3
- 4
- None of these
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The Correct Option is D
Solution and Explanation
The correct option is (C): None of these.
Explanation:
Average demand=\(\frac{(355+250+155+455+340+390+275+300+325+310)}{10}\)
Average demand=315.5
If the demand exceeds 315.5 in any week, production will be insufficient to meet that demand. There are a total of 5 weeks that fall under this condition.
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Question: 2
If the production is uniform, then what should be the minimum capacity of the storage space to store the units in excess of demand?
If the production is uniform, then what should be the minimum capacity of the storage space to store the units in excess of demand?
Updated On: Oct 1, 2024
- 25
- 50
- 100
- 200
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The Correct Option is D
Solution and Explanation
The correct option is (D): 200
When production is uniform, the minimum capacity of the storage space should be 200 units to accommodate the excess units beyond demand.
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Question: 3
If the maximum production capacity is 300 units, then the unmet demand will be
If the maximum production capacity is 300 units, then the unmet demand will be
Updated On: Oct 1, 2024
- 225
- 275
- 175
- All the demand will be met
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The Correct Option is A
Solution and Explanation
The correct option is (A): 225
When maximum production capacity is 300 units, then the unmet demand will be 225.
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