Assume that the annual demand is 10,000 units and the order quantity per order is 1,000 units,then ______.
A)there are 10 orders during the year
B)there is one order placed as soon as existing inventory is consumed
C)there is one order placed at the end of each month
D)this is an indicator that this is not a lean operation

Question

Quizplus · Accepted Answer

Since the order quantity is 1,000 units and the annual demand is 10,000 units, there will be 10 orders placed during the year (10,000/1,000 = 10).

Assume That the Annual Demand Is 10,000 Units and the Order