The operational parameter concerned with the planned inventory carried over the various periods in the planning horizon is
A)production rate.
B)overtime.
C)backlog.
D)inventory on hand.

Question

Quizplus · Accepted Answer

The planned inventory carried over the various periods in the planning horizon is the inventory on hand. This is an important operational parameter as it helps in determining the production schedule, reorder points, and safety stock levels. By maintaining the desired inventory levels, a company can ensure that it meets customer demand while minimizing the cost of carrying excess inventory. The other options listed - production rate, overtime, and backlog - are important operational parameters as well, but they are not directly related to the planned inventory carried over various periods in the planning horizon.

The Operational Parameter Concerned with the Planned Inventory Carried Over