You Have Been Called in as a Consultant to Set

question 45

Multiple Choice

You have been called in as a consultant to set up a kanban control system. The first thing you do is to determine the number of kanban card sets needed. Your research shows that the expected demand during lead time for a particular component is 1,200 per hour. You estimate the safety stock should be set at 5% of the demand during lead time. The tote trays used as containers can hold 2 units of stock and the lead time to replenish an order is 10 hours. Which of the following is the number of kanban card sets necessary to support this situation?

• A) 5,000
• B) 5,500
• C) 6,300
• D) 6,500
• E) 7,000

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