If no variations in demand or lead time exist, the ROP will equal
A)the EOQ.
B)expected usage during lead time.
C)safety stock.
D)the service level.
E)the EOQ plus safety stock.

Question

Quizplus · Accepted Answer

The Reorder Point (ROP) is determined by the expected usage during lead time when there are no variations in demand or lead time, making it the amount of inventory needed to meet demand during the lead time.

If No Variations in Demand or Lead Time Exist, the ROP