Provide correct answer Assuming no safety stock, what is the re-order point (R) given an average dailydemand of 50 units, a lead time of 10 daysand 625 units on hand?

The question pertains to reorder point. A reorder point (ROP) is the level at which inventory needs…

Answered: Assuming no safety stock, what is the…

Principles of Cost Accounting

17th Edition

ISBN:9781305087408

Author:Edward J. Vanderbeck, Maria R. Mitchell

Publisher:Edward J. Vanderbeck, Maria R. Mitchell

Chapter2: Accounting For Materials

Section: Chapter Questions

Problem 1E: Order Point Pershing, Inc. expects daily usage of 500 lb of material X, an anticipated lead time of...

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Similar questions

Order Point Pershing, Inc. expects daily usage of 500 lb of material X, an anticipated lead time of seven days, and a desired safety stock of 2,500 lb. a. Determine the order point. b. Determine the number of pounds to be issued from safety stock if the new order is four days late.
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Assuming no safety stock, what is the re- order point (R) given an average daily demand of 50 units, a lead time of 10 days and 625 units on hand?