XYZ Co. purchases 720,000 items annually from its supplier. The Supplier mentions that if XYZ Co....
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XYZ Co. purchases 720,000 items annually from its supplier. The Supplier mentions that if XYZ Co. purchases 6,000 items in each party, it can enjoy the discount. The supplier delivers the items in 1 month (4-week, rate 1). If the monthly usage rate of XYZ Co. is 5,600 items, please calculate the below: (20 points) a. Working stock; b. Reserve stock; c. Safety stock; d. Re-order point; e. Maximum amount. XYZ Co. purchases 720,000 items annually from its supplier. The Supplier mentions that if XYZ Co. purchases 6,000 items in each party, it can enjoy the discount. The supplier delivers the items in 1 month (4-week, rate 1). If the monthly usage rate of XYZ Co. is 5,600 items, please calculate the below: (20 points) a. Working stock; b. Reserve stock; c. Safety stock; d. Re-order point; e. Maximum amount.
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Page No Safety stock Usage Rale x Safety day x 28 days 5600 156800 Reo... View the full answer
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