Question: Average usage = 1 0 0 units per day Lead time = 2 0 - 2 6 days ROQ = 4 0 0 0 units

Average usage =100 units per day Lead time =20-26 days ROQ
=4000 units minimum usage =60 units per day maximum usage =140 units per day
safety stock =200 calculate Reorder level Minimum level Maximum level

Step by Step Solution

There are 3 Steps involved in it

1 Expert Approved Answer
Step: 1 Unlock blur-text-image
Question Has Been Solved by an Expert!

Get step-by-step solutions from verified subject matter experts

Step: 2 Unlock
Step: 3 Unlock

Students Have Also Explored These Related General Management Questions!

Q:

Calculate the reorder point quantity based on the following data: standard deviation of demand is 0; demand rate is 100 units per day; lead time is 2 days Select one: a. 200 b. 100 c. 50 d. 400 e. 75...

Q:

Question 23 1 pts If average demand for an inventory item is 200 units per day, lead time is three days, and safety stock is 100 units, the reorder point is: O 700 units 0 200 units O 100 units O 300...

Q:

1. What is the total ordering and holding cost for the following scenario? Demand = 2000 units/year Inventory value = $150 /unit Order placement cost = $400/order Annual carrying costs = $0.40 per...

Q:

A certain company has determined that the cost of being stocked out of motors is $150 for each unit and a carrying cost of $15 per motor. The EOQ analysis indicates that the company should reorder 10...

Q:

may i have some assistance please 8. The Kingston Wharves Company has in the past ordered raw material -Allegro" in quantities of 3.250 units, which is 13 weeks' supply. Management has decided to...

Q:

A warehouse stocks three different items: SKU A, SKU B, and SKU C. Information on each of these items are provided in the table: SKU A Daily Demand Constant at 30 units per day Lead Time Normally...

Q:

Excel Format Tools Data Window Help O Mon Feb 21 5:28 PM File Edit View Insert AutoSave OFF AB 0.. BE Inventory-2021-Fall - Home Insert Draw Page Layout Formulas Data Review View Tell me e Share...

Q:

URGENT HELP PLEASE Answer all please Exhibit. The Super Discount store (open 24 hours a day, every day (365 days) sells 8 packs of paper towels, at the rate of approximately 350 packs per week....

Q:

41. A company purchases a component from another factory. Based on the past records, the EOQ for the component is 3,600 units, with an average usage of50 units a day. The normal lead time is 6 days...

Q:

This question is based on the following information pertaining to material of "Anong hinahanap mo Corporation": Usage 50 100 lbs. per day Lead time 8 12 days Size of the order 600 lbs. No. of days in...

Q:

Given below are the activities performed by Pixels Inc. that is expected to affect their inventory position. Assume that you are the cost accountant of the company. Analyze these activities and...

Q:

Suppose that you have borrowed $175,000 in the form of a 20-year fixed rate mortgage with the following terms: Interest Rate: 5% per year with monthly payments and compounding. Origination Fee: 0.5%...

Q:

The finance department at Lumos Corporation is analyzing what took place during Q 1 since the actual performance was significantly lower than expected. What type of analysis is the finance department...

Q:

The annual demand for an item is 1,700 units. The order cost is $7. Unit cost is $8 and the unit holding cost per year is 18% of the item's value. The order quantity is 125 units. What are the total...