Question: The Green Monster baseball team has recently assigned a long-time employee Mr. Ortiz to the grounds crew. One of Mr. Ortiz's responsibilities is ordering the

The Green Monster baseball team has recently assigned a long-time employee Mr. Ortiz to the grounds crew. One of Mr. Ortiz's responsibilities is ordering the fertilizer needed to keep the grass playing field in top
condition. The grounds crew uses fertilizer at a steady rate 48 pounds per week. The fertilizer
costs $12 per pound, and the supplier charges a fixed fee of $100 per order. The delivery lead-time is 2 weeks from the
supplier. Green Monsters inventory holding cost is 0.5% per week.
Which of the following is NOT correct?
A: If Mr. Ortiz chooses an order quantity of 168 pounds, the time between two orders would be 3.5 weeks.
B: If Mr. Ortiz decides to place an order once in every 10 weeks, the average inventory level would be 240 pounds.
C: The optimal order quantity is 400 pounds.
D: Given delivery leadtime is 2 weeks, Mr. Ortiz should place an order when inventory drops to 120 pounds.

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