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Which of the following are features of dependent demand items of stock?
They depend on the production levels of the user departments
They depend on the production capacity of the supplier
They can be managed using JIT (Just-in-Time) systems
They become obsolete within a short time
Suggested Answer: C
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Dependent demand items rely on the internal production requirements of an organization. These items:
Depend on user department production levels: Demand is driven by the needs of the production line.
Can be managed using JIT systems: Just-in-Time inventory helps optimize stock levels based on immediate production needs, reducing holding costs and minimizing waste.
Dependent demand items differ from independent demand items, where demand is customer-driven rather than production-driven, emphasizing demand predictability and timely procurement.
25 comments · newest first
FR
Francene
11 months ago
Not sure about that, sounds a bit exaggerated.
MA
Ma
11 months ago
JIT is a game changer for managing these items!
YO
Yolando
11 months ago
I think they also rely on supplier capacity.
AL
Albina
11 months ago
Wait, do they really become obsolete quickly?
CH
Chantell
11 months ago
They definitely depend on production levels!
DO
Dong
12 months ago
I vaguely recall that items becoming obsolete quickly is more related to independent demand, so I'm leaning towards options that exclude 4.
CE
Celeste
12 months ago
I practiced a similar question where JIT was mentioned, and I think it applies to dependent demand items, so option 3 seems right.
AN
Angella
1 year ago
I'm not sure about option 2; I thought dependent demand was more about internal needs rather than supplier capacity.
FE
Fernanda
1 year ago
I remember that dependent demand items are linked to production levels, so I think option 1 is definitely correct.
JE
Jesusita
1 year ago
This is a tricky one. I'm not entirely sure about the relationship between dependent demand items and supplier capacity or item obsolescence. I'll have to think through each option carefully.
TO
Tonja
1 year ago
Okay, I've got this. Dependent demand items are tied to the production levels of the user departments and can be managed using JIT systems. Options A and C seem to capture those key features.
DA
Daren
1 year ago
Hmm, I'm a bit unsure about this one. The options seem to cover a lot of different aspects of dependent demand items. I'll need to carefully read through each one and think about which ones are true.
EL
Eleni
1 year ago
This looks like a straightforward question on dependent demand items. I'll focus on understanding the key features mentioned and eliminate the options that don't match.
CH
Chanel
1 year ago
I'm with Geoffrey on this one. C is the way to go. Dependent demand items are all about that JIT magic, baby!
TA
Tamekia
1 year ago
Haha, I bet the supplier's production capacity is as reliable as a 50-year-old jalopy! But yeah, I'd go with D too.
MA
Marshall
1 year ago
User 3: Definitely, managing them with JIT systems can help streamline the process.
MA
Ma
1 year ago
User 2: Yeah, that's why it's important to consider the production levels of user departments for dependent demand items.
AS
Ashley
1 year ago
User 1: Haha, I agree! Supplier's production capacity can be so unpredictable.
NE
Nenita
2 years ago
But dependent demand items are based on user departments and can be managed using JIT systems, so I still think C is correct.
LO
Lorean
2 years ago
I disagree, I believe the answer is D) 1 and 2 only.
GI
Gilma
2 years ago
D seems more accurate to me. Dependent demand items depend on both the production levels of the user departments and the production capacity of the supplier.
BE
Bernardo
1 year ago
Yes, I agree. Those are the key features of dependent demand items.
SH
Sharen
2 years ago
I think D is correct. Dependent demand items rely on both user department production levels and supplier production capacity.
GE
Geoffrey
2 years ago
I think the answer is C. Dependent demand items are tied to the production levels of the user departments and can be managed using JIT systems.
NE
Nenita
2 years ago
I think the answer is C) 1 and 3 only.