Asked by Jamie Flexer on May 20, 2024
Verified
A dependent demand item is so called because its demand is dependent on customer preferences.
Dependent Demand
The demand for a product or component that is directly reliant on the demand for another product or assembly within the same production process.
Customer Preferences
This term refers to the tastes, choices, or selections that consumers make regarding products, services, or suppliers.
- Comprehend the function of dependent demand in ascertaining the required amount of items.
Verified Answer
SH
Shubham HandaMay 21, 2024
Final Answer :
False
Explanation :
A dependent demand item is actually a raw material, component, or sub-assembly that is necessary to manufacture the final product. Its demand is not dependent on customer preferences, but rather on the demand for the final product.
Learning Objectives
- Comprehend the function of dependent demand in ascertaining the required amount of items.