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A Production Order Quantity Problem Has a Daily Demand Rate

Question 67

Multiple Choice

A production order quantity problem has a daily demand rate = 10 and a daily production rate = 50.The production order quantity for this problem is approximately 612 units.What is the average inventory for this problem?


A) 61
B) 245
C) 300
D) 306
E) 490

Correct Answer:

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