Jim gilberts computer store in lake mary sells a printer, Ask an Expert

Management Studies

Jim Gilbert's Computer Store in Lake Mary sells a printer for $200. Demand is constant during the year, and annual demand is forecasted to be 600 units. Holding cost is $20 per unit per year, whereas the cost of ordering is $60 per order. Currently, the company is ordering 12 times per year (50 units each time). There are 250 working days per year, and lead time is 10 days.

What is the reorder point?

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Operation Management, Management Studies

Category:- Operation Management
Reference No.:- M91629139

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