daniel53065 daniel53065

24-03-2020
Business

contestada

Barbara’s boutique shop sells 240 hair spray bottles in the month of April. When she orders more hair spray bottles it takes five days for arrival. What is Barbara’s reorder point for hair spray bottles? Show calculations.

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steffimarish steffimarish

30-03-2020

Answer:1200 Units

Explanation:

The reorder point= Average daily consumption x lead time

=240 units x 5 days

=1200 units

Reorder point for Barbara’s boutique shop for hair spray bottles is 1200 units. Reorder point is the point when the owner needs to place order for new inventory to keep the firm stocked during all the time. However in reality this might not be applicable due to external factors which affect the business demand and supply.

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