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Question
Jeff, a manager at the Flux Soap Store, notices that the store regularly runs out of Jasmine-Berry soap. Currently, the reorder point is fixed when inventory reaches 40 percent of maximum. Which adjustment should Jeff make in a fixed-point reordering system?A) Jeff should lower the reorder level to a point where inventory of Jasmine-Berry soap is at 30 percent of maximum.
B) Jeff should lower the reorder level to a point where inventory of Jasmine-Berry soap is at 10 percent of maximum.
C) Jeff should raise the reorder level to a point where inventory of Jasmine-Berry soap is at 50 percent of maximum.
D) Jeff should lower the reorder level to a point where inventory of Jasmine-Berry soap is at half of the previous level.
Answer
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