Question: An inventory control manager has just discovered that the variation in demand during the lead time has increased by 30% for an independent demand item.

An inventory control manager has just discovered that the variation in demand during the lead time has increased by 30% for an independent demand item. If the item is managed with a continuous, fixed order quantity system (Q system) with the following data, how should the reorder point be changed: 100 - 2000, Average Demand during the lead time - 200 units, Current reorder point 400 units Select one: O a. Increase by 30 percent O b. No change is necessary c. Increase by 15 percent. O d. Not enough information to calculate the % change

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