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A Production Order Quantity Problem Has a Daily Demand Rate

Question 146

Multiple Choice

A production order quantity problem has a daily demand rate = 10 and a daily production rate = 50. The production order quantity for this problem is approximately 750 units. What is the average inventory for this problem?


A) 61
B) 245
C) 300
D) 375
E) 600

Correct Answer:

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