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Demand for an item is constant at 40 units a week, and the economic order quantity is calculated to be 100 units. What is the reorder level if lead time is constant at four weeks? What is the effect of adding some margin of safety and raising the reorder level by ten units? What happens if the lead time (a) falls to two weeks; (b) rises to six weeks?

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Operation Management, Management Studies

Category:- Operation Management
Reference No.:- M92600682

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