Multiple choice

Directions: Choose the correct option for the given question.

Maximum consumption: 75 units per week, reorder period: 4 to 6 weeks, normal usage: 50 units per week. What is the reorder level?

  1. 450 units

  2. 540 units

  3. 504 units

  4. 405 units

  5. None of these

Reveal answer Fill a bubble to check yourself
A Correct answer
Explanation

Reorder level = Maximum consumption * Maximum reorder period. 75 units/week * 6 weeks = 450 units.