s per year 240 Normal lead time in working days 20 Maximum lead time in working days 45 Annual usage 7,200 Assuming that the units of material Y will be required evenly throughout the year, the safety stock and order point would be Safety Stock   Order Point a 600               600 b 600            1,350

FINANCIAL ACCOUNTING
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Chapter1: Financial Statements And Business Decisions
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The following information relates to Blueberry Company’s materials Y
Working days per year 240
Normal lead time in working days 20
Maximum lead time in working days 45

Annual usage 7,200

Assuming that the units of material Y will be required evenly throughout the year, the
safety stock and order point would be

Safety Stock   Order Point
a 600               600
b 600            1,350
c 750               600
d 750            1,350

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