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Annual usage 7000 units Lead time 2 weeks Maximum requirements per week 180 units minimum requirements per week 120 units economic order quantity 1000 units
Annual usage 7000 units
Lead time 2 weeks
Maximum requirements per week 180 units
minimum requirements per week 120 units economic order quantity 1000 units
Calculate 1. The reorder level
2. the minimum inventory level
3. average inventory level
4. the order size, number of units that should be ordered every time the company places an order resulting in the lowest total inventory cost for the period
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