The reorder point is defined as the lead$-$time demand for an item. In cases of long lead times, the lead$-$time demand and

thus the reorder point may exceed the economic order quantity $Q^{**}.$ In such cases, the inventory position will not equal the

inventory on hand when an order is placed, and the reorder point may be expressed in terms of either the inventory

position or the inventory on hand. Consider the economic order quantity model with $D=6,250,C_0=$$$40,C_h=$$$2,$ and

$250$ working days per year. Identify the reorder point in terms of the inventory position and in terms of the inventory on

hand for each of the following lead times.

$($a$)5$ days

inventory position

inventory on hand

$($b$)15$ days

inventory position

inventory on hand

$($c$)25$ days

inventory position

inventory on hand

$($d$)45$ days

inventory position

inventory on hand