Question: DQuestion 1 3 An appliance store carries a specialty model of microwave ovens. Thedemand for the microwave oven is relatively constant at 2 5 0

DQuestion 13An appliance store carries a specialty model of microwave ovens. Thedemand for the microwave oven is relatively constant at 2500 unitsper year. Placing an order costs the store $500 regardless thequantity ordered. Carrying one unit over a one year period costs thestore $50. The store opens 300 days per year and the lead time forthis item is 12 working days. Because of the special features of themicrowave oven, customers may buy it whether it is currentlyavailable in the store. Hence, the store is considering selling it on aback order basis if it is beneficial. It is estimated that one unit on backorder for a one year period costs the store $150.Assuming the inventory policy of the appliance store does not allowstock out, determine the reorder point.O100O1502 ptsnone of the above
 DQuestion 13An appliance store carries a specialty model of microwave ovens.

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