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Production Management and Industrial Engineering - Interview Questions and Answers

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91. In inventory control, the economic order quantity is the
A. optimum lot size
B. highest level of inventory
C. lot corresponding to break-even point
D. capability of a plant to produce
E. none of the above.
Explanation:
92. Inventory control in production, planning and control aims at
A. achieving optimization
B. ensuring against market fluctuations
C. acceptable customer service at low capital investment in inventory
D. discounts allowed in bulk purchase
E. regulate supply and demand.
Explanation:
93. Statistical quality control techniques are based on the theory of
A. quality
B. statistics
C. probability
D. all of the above
E. none of the above.
Explanation:
94. Standing orders which are statutory are applicable to
A. all industries
B. all process industries and thermal power plants
C. only major industries
D. only key industries
E. all industries employing more than 100 workers.
Explanation:
95. The technique of value analysis can be applied to
A. complicated items only
B. simple items only
C. crash programme items only
D. cost consciousness items only
E. any item.
Explanation: