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Two components A and B are used as follows:Normal usage60 per week eachMinimum usage30 per week eachMaximum usage90 per week eachRe-order quantityA: 500; B: 800Re-order periodA:3 to 5 weeks ; B:2 to 4 weeksCalculate for each component : (a) Re-order level; (b) Minimum level ; (c) Maximum level : and(d) Average stock level.Comment briefly on the difference in the levels for the two components.Solution |
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