Which one of these would not be a factor in determining the level of the reorder point that includes safety stock?
A) The EOQ.
B) The lead time.
C) The variability of demand.
D) The demand or usage rate.
E) All of the above are factors.

Question

Quizplus · Accepted Answer

The Economic Order Quantity (EOQ) is a factor in determining the optimal order quantity, but it is not directly related to the reorder point with safety stock. The reorder point with safety stock is determined by factors such as lead time, demand variability, and demand or usage rate.

Which One of These Would Not Be a Factor in Determining