YS Company has a secret ingredient in its production. This ingredient costs the company P60 each from the supplier and requires a 6-day lead time. The demand every quarter is 13,680 units. The ordering cost is P12.50 per order. (EOQ is 1,200 units). The desired safety stock if the maximum daily usage is 175 units is?
YS Company has a secret ingredient in its production. This ingredient costs the company P60 each from the supplier and requires a 6-day lead time. The demand every quarter is 13,680 units. The ordering cost is P12.50 per order. (EOQ is 1,200 units). The desired safety stock if the maximum daily usage is 175 units is?
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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YS Company has a secret ingredient in its production. This ingredient costs the company P60 each from the supplier and requires a 6-day lead time. The demand every quarter is 13,680 units. The ordering cost is P12.50 per order. (EOQ is 1,200 units).
The desired safety stock if the maximum daily usage is 175 units is?
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