Business, 09.04.2020 01:43 nuts12345

Shipments of Product X from a plant to a wholesaler are made in lots of 600. The wholesaler's average demand for X is 100 units per week. Lead time from plant to wholesaler is 4 weeks. The wholesaler pays for the shipments when they leave the plant.

Refer to the instruction above. If the plant reduces its lead time from 4 to 2 weeks and keeps its 600 unit lot size, what is the wholesaler's new total cycle plus pipeline inventories?

A) 300 units

B) 500 units

C) 700 units

D) 200 units

Answers: 1

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Shipments of Product X from a plant to a wholesaler are made in lots of 600. The wholesaler's averag...