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Burger Q sells about 500 DoubleHappinness burgers daily. It is their trademarked star seller that is a double burger. As their customers are rather unpredictable, they need to carry extra 750 burgers. Burger Q buys the patties from John’s Farm, who can deliver them in 3 days, at 25 cents each plus $80 flat-rate charge. Financing comes

from Bank Krupt at 10% per year

What is the reorder point?

Select one:

a. 3750

b. 3000

c. 2250

d. 3500

e. 4500

Applied Statistics, Statistics

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