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25-11-2020
Business

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If average demand for an item is 20 units per day, safety stock is 50 units, and lead time is 5 days, the ROP will be:______

a. 20
b. 50
c. 80
d. 130

Respuesta :

Tundexi Tundexi

26-11-2020

Answer:

d. 130

Explanation:

Using the given date to calculate Reorder Point:

Reorder Point = (Average demand*Lead time) + Safety stock

Reorder Point = (20*4) + 50

Reorder Point = 80 + 50

Reorder Point = 130

Thus, the ROP is 130.

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