Margaret Company Has an Economic Order Quantity for Item B

Multiple Choice

Margaret Company has an economic order quantity for item B of 100 units.The annual demand for the product is 1,400 units, and the unit carrying cost per year is $7.The company operates 200 days a year, the lead time for the item is ten days, and the safety stock is 100 units. What is the reorder point?

A) 70 units
B) 170 units
C) 1000 units
D) 100 units