Which of the following statements about aggregate planning is true? A) The development of mathematical models has allowed aggregate planners to discontinue use of trial-and-error methods. B) In aggregate planning, back orders are a means of manipulating supply while part-time workers are a way of manipulating product or service demand. C) A pure chase strategy allows lower inventories when compared to pure level scheduling. D) Disaggregation turns the master production schedule into an intermediate term master plan. E) All of the above are true.

Question

Quizplus · Accepted Answer

A pure chase strategy involves matching production to demand and therefore requires only minimal inventory, while pure level scheduling aims to maintain a constant level of output regardless of demand, which often results in higher inventories. The other statements are either partially or completely false.

Which of the Following Statements About Aggregate Planning Is true