1. Which of the following statements concerning MRP systems is FALSE?

a) MRP is a computer-based inventory planning and control information system designed to handle production scheduling of dependent-demand inventories for batch systems

b) MRP is designed to determine how much is needed and when the need occurs for items that experience dependent demand (components, subassemblies, parts, and raw materials)

c) MRP systems are based on a replenishment philosophy, which indicates that material should be ordered when stock runs low

d) The ordering philosophy of MRP may result in “lumpy” demand for component parts

2. In the video The Goal, when Bob showed Alex the used Zumagma machine, this was an example of:

a) Exploitation

b) Elevation

c) Subordination

d) Identification