Imagine that fictitious cork company Orch Kork wants to know the ideal maximum stock level for its warehouse. The business has calculated the minimum demand level at 10,000 corks per week; thus, to properly serve its customers, it has to restock a total of 65,000 units every four weeks. Its goal is for its stock levels to remain above 45,000 corks (the reorder point). In other words: Reorder point = 45,000 Replenishment quantity = 65,000 Lead time = 4 weeks