Question: Consider two SKUs moving through a unit-load warehouse. Every Monday morning 100 pallets of SKU A are shipped out and in the afternoon 100 new

Consider two SKUs moving through a unit-load warehouse. Every Monday morning 100 pallets of SKU A are shipped out and in the afternoon 100 new pallets of SKU A arrive. Every other Monday, 10 pallets of SKU B are shipped out and in the afternoon 10 pallets arrive. On average there are 500 pallets of SKU A on-hand and 20 pallets of SKU B.

Which SKU has priority for storage in the most convenient storage locations under FIFO?

How would your answer change if the FIFO requirement were dropped?

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