Question: The average daily usage rate is 2 5 0 units. The average lead time is 5 days. Buffer inventory is 1 , 0 0 0

The average daily usage rate is 250 units. The average lead time is 5 days. Buffer inventory is 1,000 units.
What is the re-order point?
1,250 units
2,250 units
750 units
1,050 units

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:

Find the optimal row and column strategies and the value of each matrix game. 6 0 6 2 4 5 4 2 3 5 5 3 5 7 2 7

Q:

In Problems 2734, determine whether the product is defined. If it is defined, find the product; if it is not write not defined. 2 -1 64 5 8 -3 5 -6 0 90 2 -1 7

Q:

The average inventory of the company was 4,000 units. The company's current safety stock level is 2,000 units. The purchase cost of the inventory is P50 per unit and the carrying cost is 20% of the...

Q:

I need your help with this problem. 2. The reorder point of the company is 170 units of material A. The company's average daily usage of this material is 20 units and it takes 7 day for the supplier...

Q:

how would i input these numbers into excel. please help thanks 5 The Hardware Warehouse is evaluating the safety stock policy for all its items, as identified by the SKU code. For SKU M4389, the...

Q:

questionsn in yellow is what i need help on 1. Calculate the projected annual demand volume in cases and dollars, average daily volume in cases and dollars, and the demand during lead time and EOQ in...

Q:

please i need help with question number 12 all the information for calculation is given in the excel spreadsheet HICKORY HILL CASE Hickory Hill is a well-established smoked foods company specializing...

Q:

P2-2. Economic Order Quantity: Ordering and Carrying Costs LO1 All Similar to Self-Study Problem 1 Mayer, Inc. predicts it will use 63,000 units of material during the year. The expected daily usage...

Q:

(SECOND ATTEMPT) Problem 9a: Jones Surgicenter uses 90,000 bags of IV solution annually. Each bag costs the center $1.50, inventory carrying costs are 20 percent, and the cost of placing an order...

Q:

Problem 9a: Jones Surgicenter uses 90,000 bags of IV solution annually. Each bag costs the center $1.50, inventory carrying costs are 20 percent, and the cost of placing an order with the supplier is...

Q:

In the diagram, the energy difference between states A and B is twice the energy difference between states B and C. In a transition (quantum jump) from C to B, an electron emits a photon of...

Q:

Of two corporations organized at approximately the same time and engaged in competing businesses, one issued $150 par common stock, and the other issued $1.00 par common stock. Do the par...

Q:

1. INTRODUCTION In May 2015, the Spanish railway company Talgo S.A. floated 45% of its capital on the stock market at a price of 9.25 euros per share. With a total of 136.8 million shares, the...

Q:

The following amounts were taken from the accounting records of Russell Services, Inc. as of Dec 31, 2009. Russell Services began its operations on January 1, 2009. 1. Interest Expense $ 2,000 2....

Q:

Consider the following project information: Activity A depends on nothing and has an expected time of 8 days, B depends on A with an expected time of 3 days, C depends on nothing with an expected...

Q:

A companys recall of 1.1 million TVs cost the company more in repairs than the value of the actual TVs. This is an example of which quality cost? Select one: a. prevention costs b. failure costs c....

Q:

The King of Pancakes uses a weighted moving average method to forecast pancake sales. It assigns a weight of 3 to the previous months demand, 2 to demand two months ago, and 1 to demand three months...

Q:

Consider the following project information: Activity A depends on nothing and has an expected time of 8 days, B depends on A with an expected time of 3 days, C depends on nothing with an expected...

Q:

Design a minimum-mass symmetric three-bar truss (the area of member 1 and that of member 3 are the same) to support a load P, as was shown in Fig. 2.9. The following notation may be used: Pu = P cos...

Q:

9. Compare and contrast circuit-switched services, dedicated-circuit services, and packet-switched services.

Q:

8-1. Find out the data rates and costs of T carrier services in your area.

Q:

8-4. Using Figure 8.11: a. Suppose the example used a layer-2 VPN protocol called L2TP. Draw the messages and the packets they would contain. b. Suppose the Web server was an email server. Draw the...