Southeastern Bell stocks a certain switch connector in its central warehouse for supplying field service offices. The an

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Southeastern Bell Stocks A Certain Switch Connector In Its Central Warehouse For Supplying Field Service Offices The An 1 (36.95 KiB) Viewed 11 times

Southeastern Bell stocks a certain switch connector in its central warehouse for supplying field service offices. The annual demand for these connectors is 12,500 units. The company estimates its annual holding cost for this item to be $ 52 per unit per year. The cost to place an order is $ 57. The company operates 300 days per year, and the lead time to receive an order from the supplier is 5 working days. Q-1: Fill in the blank with the correct value: "Southeastern should place a new order when the connectors' inventory drops to 166 units." You do not need to show your calculations. I Q-2: Suppose that the annual demand drops by 15% and it that takes one day longer than before (it was 5 days, before) to receive an order from the supplier. Calculate the new reorder point. Please fill in the box below. You do not need to show your calculations. The answer is: New ROP= 210