Refer to the data in PE 20-8. The supplier may take five days to deliver the inventory

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Refer to the data in PE 20-8. The supplier may take five days to deliver the inventory if any unexpected event occurs, and the daily demand for inventory may also spike to 160 units.

Compute the amount of safety stock the company should keep on hand in case both of these events should happen.


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Accounting concepts and applications

ISBN: 978-0538745482

11th Edition

Authors: Albrecht Stice, Stice Swain

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