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Firelight Company, a distributor of LED light bulbs, carries a safety stock of 2 light bulbs. The maximum daily usage is 1,200 bulbs, and average
Firelight Company, a distributor of LED light bulbs, carries a safety stock of 2" light bulbs. The maximum daily usage is 1,200 bulbs, and average daily rate of usage is 1,000 bulbs. The order lead time (set by the supplier) is 4 business days. The cost of ordering is $15.00 per order and the carrying cost per bulb is $3.50. What is the safety stock of bulbs?
200 bulbs 600 bulbs 1,000 bulbs 800 bulbs
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