Given that the production run size is Q,the production rate is p,and the usage rate is d,then the inventory used up or depleted at the end of the production cycle can be calculated as ______.
A)(Q/p)× d
B)(Q/p)
C)(Q/d)× p
D)(Q/d)

Question

Quizplus · Accepted Answer

The inventory used up or depleted at the end of the production cycle can be calculated as (Q/p)× d. This formula takes into account the time it takes to produce the entire lot (Q/p) and multiplies it by the rate at which the inventory is being used (d), giving the total amount of inventory depleted during the production cycle.

Given That the Production Run Size Is Q,the Production Rate