Question: QUESTION 3 3 Demand for an item is 2 0 units per week and delivery lead time is 2 weeks. The safety stock is known

QUESTION 33
Demand for an item is 20 units per week and delivery lead time is 2 weeks. The safety stock is known to be 14 units. Using a periodic review system, and assuming a review period of 3 weeks, what is the target inventory level?
A. Between 50 and 100
B. More than 100
C. Less than 50
D. Exactly 100
QUESTION 33 Demand for an item is 20 units per week

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:

LaRue Shoe Co produces and sells excellent quality walking shoes. After production, the shoes are distributed to 20 warehouses around the country Each warehouse services approximately 100 stores in...

Q:

Prater Shoe Co. produces and sells excellent quality walking shoes. After production, the shoes are distributed to 20 warehouses around the country. Each warehouse services approximately 100 stores...

Q:

Question 1 2 ( 1 point ) If a company has a demand of 2 0 0 units per week and a lead time of 3 weeks, what is the required safety stock if the demand variability is 3 0 units per week? 9 0 units 1 5...

Q:

Safety StockComputation. The EOQ for MGO Company is 250. The average inventory usage rate is 30 units per week, and the lead time is 2 weeks. Assuming that the maximum usage could be 40 units a week...

Q:

The average demand for an item is 240 units per year and the delivery lead time is 2 months. The safety stock is known to be 31 units. Answer the following questions: a. Using a Q system, what is the...

Q:

If a company has a demand of 200 units per week and a lead time of 3 weeks, what is the required safety stock if the demand variability is 30 units per week?90 units150 units60 units180 units

Q:

Given the following information pertaining to item X123, determine the appropriate number of kanbans that should be used to support production. Usage (demand) is 120 units per week. Lead time is 1...

Q:

Given the following information pertaining to item X123, determine the appropriate number of kanbans that should be used to support production. Usage (demand) is 120 units per week. Lead time is 1...

Q:

3) A computer Company builds a gaming computer model ICU2, produces the Motherboard with inserts (Add-in Boards and DRAM) from Taiwan, each Motherboard requires 90 DRAM chips and 3 add-in boards. The...

Q:

Questions 27 to 35. Consider the bill of materials given below. The MPS indicates that 100 units of J are required in week 6 and 200 units in week 8. The lead time of J and M is one week and the lead...

Q:

Presented below is information relating to the purchase of common stock by Jamison Company December 31, 2016. Cost Fair Value Investment in Readfield Company common stock $125,000 $115,500 Investment...

Q:

sampling design includes the cluster of people, events, things, or other phenomenon that you are most interested in. It is also who or what that you want to say something about at the end of your...

Q:

I need help solving this general accounting question with the proper methodology. The Return on Sales (ROS) of Alpha Corp is 6%. Alpha's debt ratio (Debt to Assets) is 0.5, and Asset Turnover (Sales...

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...