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Inventory Control Formulae! Let's delve into a few fun inventory control calculations! Everyone’s favorite pet clothing retailer, Purely Posh Pet, relies heavily on a few core product lines for most of its sales. One of these product lines is “The Sherlock,” a basic Harris Tweed coat for small to extra-small dogs manufactured by Dapper Dogs. Purely Posh Pet sells approximately 100 “Sherlocks” every week and, because it is such a popular item, likes to keep 4 weeks worth of buffer inventory. The length of time it takes from the moment of reorder to receipt of the Sherlock from Dapper Dogs is one week. Because of the ordering bulk discounts Dapper Dogs offers, Purely Posh Pets places only 5 large orders for “The Sherlock” every year. Using the information and formulas on pages 126 through 128 of Chapter 6 of Warehouse Management and Inventory Control, answer the following questions: What is the lead time for “The Sherlock”? How much Sherlock buffer inventory does Purely Posh Pets keep? What is the Sherlock’s reorder level? What is its reorder quantity? What is the progress level for this item? What is the maximum inventory Purely Posh Pets holds of “The Sherlock”?
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