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    Contemporary Financial Management Study Set 2
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    Exam 21: The Management of Accounts Receivable and Inventories
  5. Question
    The Reorder Point Is ____
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The Reorder Point Is ____

Question 8

Question 8

Multiple Choice

The reorder point is ____.


A) the lead time multiplied by the daily usage plus safety stock
B) the EOQ plus safety stock
C) the lead time multiplied by the annual usage
D) a product of daily usage and the lead time

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