Reorder level (A, B),

Two components A and B are used as follows:

Normal usage 130 units per week each

Minimum usage 145 units per week each

Maximum usage 850 units per week each

Reorder Quantity A 250 units; B 550 units

Reorder Period A 2 to 4 weeks, B 5 to 7 weeks

Calculate, Economic order quantity, If the annual demand for a product is 6,400 units. The unit cost is $6 and inventory carrying cost is $ 1.5. If the cost of one procurement is $75 determine: