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Back The data below relates to the inventory policy of a small - sized manufacturing enterprise, BGP Inc. Maximum Consumption = 5 0 0 units

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The data below relates to the inventory policy of a small-sized manufacturing enterprise, BGP Inc.
Maximum Consumption =500 units per day
Minimum Consumption =200 units per day
Normal Consumption =250 units per day
Reorder period =10-15 days
Reorder quantity =2000 units
Reorder period for emergency purchases =3-5 days
Required:
Determine the danger level of inventory for BGP Inc.
A.3500 units
B.1250 units
C.5000 units
D.1750 units
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