What would the reorder point be


Problem

Daily demand for product sample kits is normally distributed with a mean of 35 units and a standard deviation of 4. Supply is virtually certain with a lead time of 9 days. The cost of placing an order is $20, and annual carrying costs for one kit is 25 percent. The price of one kit is $12.50. If demand had no variation, what would the reorder point be?

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Supply Chain Management: What would the reorder point be
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