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SUNPOWER PVC is a reputed electronic equipment provider in India. The following information is extracted for the year 2020. Description Cost of placing a purchase

SUNPOWER PVC is a reputed electronic equipment provider in India. The following information is extracted for the year 2020.

Description

Cost of placing a purchase order

$150

Number of units to be purchased during the year

5,000

Annual cost of storage per unit

$10

Lead time - Average

10 days

- Minimum

5 Days

Rate of consumption - Average

15 Units

- Maximum

20 units

Required to,

  1. Calculate Economic Order Quantity (EOQ)
  2. Calculate re-order level
  3. Calculate the maximum stock level

Calculate the minimum stock level

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