Kali Manufacturing Uses an Average of 2,000 Components Per Day

question 19

Multiple Choice

Kali Manufacturing uses an average of 2,000 components per day, although usage can run as high as 2,500 components per day. If lead time is four days, how much safety stock should Kali have on hand?

• A)10,000 components
• B)8,000 components
• C)2,500 components
• D)2,000 components

---

Definitions:

Scrambled Merchandise Store

Retail outlets that carry a wide range of products outside of their traditional merchandise lines, expanding their offerings to increase foot traffic and sales.

General Merchandise Store

A retail establishment offering a wide range of products across different categories, typically without a specialty focus.

Specialty Outlets

Retail stores that focus on selling a specific category of products, offering expert knowledge and a wider selection within that category.

General Merchandise Stores

Retail establishments offering a wide range of consumer goods in various categories from clothing to home appliances.