Assuming No Safety Stock, What Is the Reorder Point (R)

question 10

Multiple Choice

Assuming no safety stock, what is the reorder point (R) given an average daily demand of 50 units, a lead time of 10 days, and 625 units on hand?

• A) 550
• B) 500
• C) 715
• D) 450
• E) 475

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Definitions:

Double Quantity

A term not clearly defined but likely refers to a data type in programming used to store double-precision floating point numbers.

Variable

A symbolic name associated with a value and whose associated value can be changed.

Assignment Operator

In programming, an operator that assigns a value to a variable, typically represented as '=' in many languages.

Equal Sign

In programming, it is used as an assignment operator to assign values to variables; in mathematics and comparisons, it signifies equality between two expressions.