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Introduction to Materials Management 8th Edition by Steve Chapman ,Tony Arnold ,Ann Gatewood ,Lloyd Clive
Edition 8ISBN: 978-0134156323Introduction to Materials Management 8th Edition by Steve Chapman ,Tony Arnold ,Ann Gatewood ,Lloyd Clive
Edition 8ISBN: 978-0134156323 Exercise 20
A firm orders a number of items from a regional warehouse every 2 weeks. Delivery takes 1 week. Average demand is 200 units per week, and safety stock is held at 2 weeks' supply.
a. Calculate the target level.
b. If 600 units are on hand, how many should be ordered?
a. Calculate the target level.
b. If 600 units are on hand, how many should be ordered?
Explanation
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Target level:
Target level used in the ...
Introduction to Materials Management 8th Edition by Steve Chapman ,Tony Arnold ,Ann Gatewood ,Lloyd Clive
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