The following information pertains to material X that is used by Sage Co.:
|
Annual usage in units |
20,000 |
|
Working days per year |
250 |
|
Safety stock in units |
800 |
|
Normal lead time in working days |
30 |
Units of material X will be required evenly throughout the year. The order point is
- 800
- 1,600
- 2,400
- 3,200