Compute the minimum kilograms of iron that the company needs, Other Subject

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Compute the minimum kilograms of iron that the company needs

Problem: A company makes iron tables. To manufacture one table, 2.35 kgs of iron (raw material) is used. The details are given below:

Maximum demand for tables: 600 tables per month
Average demand for tables: 475 tables per month
Minimum demand for tables: 320 tables per month
Maximum lead time: 2.5 weeks
Average lead time: 1.9 weeks
Minimum lead time: 1.5 weeks

Required: Compute the minimum kilograms of iron that the company needs to maintain along with Reorder Level

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Other Subject: Compute the minimum kilograms of iron that the company needs

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