Mathematics · Inventory Management
For a particular component, the re-order quantity is 6,000 units and the average inventory holding is 3,400 units. Calculate the level of safety inventory (buffer stock) in units. (Formula: Average Inventory = Safety Inventory + Re-order Quantity2)
Verified Solution4 OptionsUpdated: October 2026👁️1 View
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- 16,400
- 23,000
- 33,400
- 4400✓
Correct answer
400
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