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The following information applies to Krynton​ Company, which supplies microscopes to laboratories throughout the country. Krynton purchases the microscopes from a manufacturer which has a reputation for very high quality in its manufacturing operation. Annual demand​ (weekly demand​ = 1/52 of annual​ demand) 60 comma 000 units Orders per year 60 Lead time in days 18 days Cost of placing an order $ 150 What is the reorder​ point?

Respuesta :

Answer:

2,967 units

Step-by-step explanation:

The computation of the reorder point is presented below:

= Demand × lead time + safety stock

where,

Demand equal to

= Expected demand ÷ total number of weeks in a year  ÷ number of days in a week

= 60,000 ÷ 52 weeks  ÷ 7 days

= 164.835

So, the reorder point would be  

= 164.835 ×  18 days + 0

= 2,967 units

All other information that is mentioned is not relevant. Hence, ignored it

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