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If a Company Faces a 60-Day Lead Time on Orders

Question 10

Multiple Choice

If a company faces a 60-day lead time on orders of a European faucet with an annual demand of 2,190 units, at what inventory level must it reorder to ensure sufficient supply to satisfy average demand?


A) 6
B) 45
C) 60
D) 120
E) 360

Correct Answer:

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