Given the data below, calculate the reorder point (ROP). Average daily demand = 30 units/day Lead time = 4 days Safety stock = 20
A) 30 units
B) 8 units
C) 120 units
D) 140 units

Name: Given the data below, calculate the reorder point (ROP). Average daily demand = 30 units/day Lead time = 4 days Safety stock = 20 A) 30 units B) 8 units C) 120 units D) 140 units
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Question

Quizplus · Accepted Answer

ROP = (Average daily demand x Lead time) + Safety stock
= (30 x 4) + 20
= 140 units
Therefore, the answer is D) 140 units.

Given the Data Below, Calculate the Reorder Point (ROP)