Question: Please show the work! The following items are being managed using a fixed order quantity model with safety stock. Annual Demand = 2000 units, Order
Please show the work!
The following items are being managed using a fixed order quantity model with safety stock. Annual Demand = 2000 units, Order Quantity is 400 units, and safety stock is 50 units. What are the average inventory level and inventory return for the item?
A. 9.3 turns per year
B. 5.7 turns per year
C. 6.6 turns per year
D. 8.0 turns per year
E. None of these
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