Table
Demand units/year
Standard deviation of weekly demand units
Ordering costs /order
Holding costs unit/year
Cycle-service level
Lead time weeks
Number of weeks per year weeks
You will need to refer to a normal table to answer the question(s) .
-Use the information in Table 5.8. If the firm changed to a continuous review system, what would be the reorder point?
A) 0 units
B) greater than 0 but less than or equal to 1000 units
C) greater than 1000 but less than or equal to 2000 units
D) greater than 2000 units
Correct Answer:
Verified
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