Question: A food processor uses approximately 2 7 , 0 0 0 glass jars a month for its fruit juice products. Because of storage limitations ,

A food processor uses approximately 27,000 glass jars a month for its fruit juice products. Because of storage limitations, a lot size of 4000 jars has been used. Monthly holding cost is $0.18 per jar, and reordering cost is $60 per order. Please answer the following questions by attaching your answers in a Word or Excel document. Show all work. Round up your answers where relevant.
Assume that the firm operates 30 days per month and the lead time (LT) for each order is 5 days. What is the reorder point (ROP)? Verbally interpret the meaning of this Reorder Point.

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