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<p>Maximum consumption ...…900 units per week</p> <p>Minimum comsumption …....300 units per week</p> <p>Re-order period ….….5 weeks</p> <p>Based on this data Re-order level is:</p> <p>(a)4500 units</p> <p>(b)3900 units</p> <p>(c)1200 units</p> <p>(d)400 units</p> <p>(e) None of these</p>
(a)4500 units
Reorder Level = 4500 Units.
Reorder quantity is the point at which a business must buy more inventory so as to not run out during production. If a business does not reorder inventory in time and runs out, it can slow down or stop production. Calculating the reorder quantity allows the business to ensure it always has adequate inventory on hand.
(e) None of these
720 .
A
Ordering point or re-order level = Maximum daily or weekly or monthly usage × Lead time
Data re-arrangement is the amount of re-arrangement in addition to the consumption of any Aqsa is3600 +900 =4500 to
answerA
E- none of these
The level of re ordered = (x) (P ) + (Z) (δ) i
Where
x : Average utilization rate
P : the length of the supply
(G ) (P ) : the average utilization rate for the class during the period of supply
(Z): normal distribution of the table depending on the level of service desired
(Δ) i : standard deviation of demand during the period of supply
We note that the latter is appreciated for ways to take the square root of the total demand variations for each of the periods of supply , may not be statistically significant , but the collection of standard deviations can be collected variations :
(Z) (δ) i is the amount of inventory reserves
Permission from the previous relationship can be drawn this relationship :
Safety stock = Average Redial - Average use of the class during the period of supply
So we need to provide all information related to the equation
