Can someone explain this. The problem was done in class but I would like more clarification as to why. like one math part consists of 300+300+300-200. And i know the numbers repeat themselves. any advice in addition to solving it would be great.

A distributor expects to sell approximately 9,600 pounds of a certain type of active pharmaceutical ingredient (API) next year. Annual holding cost is 16% of the unit cost (1 pound = 1 unit). The distributor pays $100 per pound, and the ordering cost is $75. The distributor operates 288 days/year. Assume the order lead-time is always 4 days. What is the reorder point? In practice, inventory-holding costs are often charged at the end of each month. Complete the following cost table. There are 1o0 pounds in inventory that carry-over from the previous year. You will first need to calculate average monthly demand. urchase CostMonthig Hoding Cast nventory Cha