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Off Roadin' Inc

Question 147

Multiple Choice

Off Roadin' Inc. builds customized ATVs. On average, it uses 40 tires a day in its manufacturing process. It takes 4 days to receive a shipment of tires once an order is placed. Off Roadin' has a policy of maintaining 80 tires as a safety stock. What is the reorder point level of inventory?


A) 0
B) 80
C) 160
D) 240
E) 320

Correct Answer:

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