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A company uses 2555 units of an item annually. Delivery lead time is 8 days. The reorder point (in number of units) to achieve optimum inventory is
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- 7
- 8
- 56
- 60
Correct Option: C
Reorder level = LT × d + SS ↑If guessed
Q ⇒ 2555 units
Ls = 8 days
Cycle Time = 365 days 
| = | |||
| T | t |
| t = | t | |
| T |
| t = | = 56 units | |
| 365 |
