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The General Chemical Company es 150
The General Chemical Company es 150.000 galons of hydrochlorid per more. The cost of coming the chemica in invertory s certs per galon per year, and the cost of ordering the chemical $150 per orderThe firme chemical a constant role throughout the year. It has 18 days to clean ander once tid. The depois O A 105,000 guions OB. 25,000 galons OG 7.500 gallons OD 90.000 gallons
Expert Solution
Ans.
Reorder point = Maximum Daily Usage * Maximum Lead Time Days
Maximum Daily Usage = 150,000 gallons / 30 days = 5,000 gallons
*30 days are taken in a 1 month
Maximum Lead Time Days = 18 days (given)
Reorder point = 5,000 gallons * 18 days = 90,000 gallons
So correct option is D. 90,000 gallons.
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