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Materials requirements planning (MRP) _________.a. reduces the uncertainty about when materials are needed, thereby reducing the need to carry large levels of inventory b. is able to compute exactly the cost of purchasing by taking into account all costs associated with inventory carrying. c. requires vendors to deliver inventory to the production site exactly when needed and in the correct quantities d. None of the above is correct

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Answer:

The correct answer is (a)

Explanation:

Material inventory planning technique is an effective technique to manage the inventory level. It helps to manage all the inventory requirements and helps to schedule the inventory accordingly. It reduces the uncertainly regarding the inventory level, needs and materials. It helps to have the entire inventory needed for the short time; as soon as the inventory reaches a specific level it helps to restock it.

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