Question: 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

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 reorder point (R)? What is the average inventory if Q = 30? b. Using a P system, and assuming a P value of 2 months, what is the target inventory level (T)?

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