Question: 2. An inventory decision rule states, When the inventory level goes down to 14 gear boxes, 100 gearboxes will be ordered. Based on the rule,

2. An inventory decision rule states, When the

2. An inventory decision rule states, When the inventory level goes down to 14 gear boxes, 100 gearboxes will be ordered. Based on the rule, 100 is the reorder point, and 14 is the order quantity.

A. True

B. Fslse

Valvoline auto shop in Sauganash operates 52 weeks per year, and weekly demand is 150 filters. Valvoline estimates that it costs $20 to place an order and his annual holding cost rate $3 per oil filter. Currently, Valvoline orders in quantities of 650 filters. What is the EOQ? 0967.50 247.50 322.5 None of the above 1,215

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