The following information is available for Edgar Corporation’s Material X.   Annual Usage                                      12,600 units Working days per year                             360 days Normal lead time                                        20 days   The units of Material X are required evenly throughout the year.   What is the reorder points?   Assuming that occasionally, the company experiences delay in the delivery of Material X, such that the lead time reaches a maximum of 30 days, how many units of safety stocks should the company maintain and what is the reorder point? Show computation.

Elements Of Electromagnetics
7th Edition
ISBN:9780190698614
Author:Sadiku, Matthew N. O.
Publisher:Sadiku, Matthew N. O.
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The following information is available for Edgar Corporation’s Material X.
 
Annual Usage                                      12,600 units
Working days per year                             360 days
Normal lead time                                        20 days
 
The units of Material X are required evenly throughout the year.
 
What is the reorder points?
 
Assuming that occasionally, the company experiences delay in the delivery of Material X, such that the lead time reaches a maximum of 30 days, how many units of safety stocks should the company maintain and what is the reorder point? Show computation.
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