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ETech Ltd uses 280,000 units per year of a component in webcam production. The supplier takes 5 days to deliver the components to the company
ETech Ltd uses 280,000 units per year of a component in webcam production. The supplier takes 5 days to deliver the components to the company after receiving the orders of the component. The company operates 360 days per year, and maintains a minimum inventory level of 200 units of safety stock. At what level of inventory should the company place an order for the component?
|
| 7,050 units |
|
| 4,089 units |
|
| 780 units |
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| 980 units |
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