Albuquerque Company Has the Following Information Available Concerning One of Its

question 40

Multiple Choice

Albuquerque Company has the following information available concerning one of its inventory items: $$\begin{array} { l r } \text { Cost of placing an or der } & \$ 50.00 \\\text { Unit carrying cost per year } & \$ 2.00 \\\text { Annual unit demand } & 3,200 \\\text { Safety stock } & 80 \\\text { Average daily demand } & 10 \\\text { Normal lead time in days } & 12\end{array}$$ The reorder point for the inventory item is

• A)500 units.
• B)970 units.
• C)320 units.
• D)200 units.

---

Definitions:

Chloroplasts

Organelles found in plant and algal cells where photosynthesis takes place, converting light energy into chemical energy stored in glucose.

Linear Chromosomes

Chromosomes that are structured as a series of linear sequences of DNA, typical in eukaryotic cells.

Domain Eukarya

One of the three domains of life, consisting of organisms with complex cells containing a nucleus.

Cell Wall

A rigid layer that lies outside the cell membrane of the cells of plants, fungi, and bacteria, providing structural support and protection.