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A company normally orders the EOQ of 120 units and the reorder point is 30 units. However, due to changing conditions, it has become necessary for the company to carry safety stock to prevent stock outs. Which of the following should occur?
a. the order quantity will increase.
b. the order quantity will decrease.
c. the reorder point will increase.
d. the reorder point will decrease.
The following information was reported on the income statement of Cannondale in one of its early years of operation. Sales revenues, $450,000; Cost of goods sold, $200,000;
One end item A requires three component parts: B, C, and D. The bill of material indicates that for each completed A, 3 units of B, 2 units of C, and 1 unit of D are require
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Island Publishing Company publishes two types of magazines on a monthly basis: a restaurant and entertainment guide and a real estate guide.
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