The Manager of the Quick Stop Corner Convenience Store (Which

Multiple Choice

The manager of the Quick Stop Corner convenience store (which is open 360 days per year) sells four cases of Stein soda each day (1440 cases per year) . Order costs are $8.00 per order. The lead time for an order is three days. Annual holding costs are equal to $57.60 per case.
-If average demand for an inventory item is 200 units per day, lead time is 3 days, and safety stock is 100 units, what is the reorder point?

A) 500
B) 600
C) 700
D) 800