Question: Example 2 : In a manufacturing company, a material is used as follows: Maximum consumption - 1 2 , 0 0 0 units per week

Example 2:
In a manufacturing company, a material is used as follows:
Maximum consumption -12,000 units per week
Minimum consumption -4,000 units per week
Normal consumption -8,000 units per week
Re-order quantity -48,000 units
Time required for Delivery-Minimum: 4 weeks, Maximum: 6 weeks
Maximum reorder period for emergency purposes is 2 weeks
Calculate: (a) Re-order level; (b) Minimum level; (c) Maximum level; (d) Danger level; and (e) Average stock level.
Example 2 : In a manufacturing company, a

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