If the daily demand is 100 units and the lead time is 10 days, the reorder point is 1000 units
The formula for reorder point is:
Reorder point = (Average daily demand * Lead time) + Safety stock
putting the values in the above formual, we get,
Reorder point = (100 * 10) + 0
Reorder point = 1000 units
Demand is the number of consumers willing and able to purchase a product at various prices over a period of time. Demand for goods refers to consumers' desire to purchase goods and their willingness and ability to pay for them.
For example, if a consumer is hungry and buys a slice of pizza, the first slice has the highest utility or utility. Each additional piece makes the consumer happier and the profit decreases. Theoretically, the first production can get a higher price from the consumer.
Learn more about demand here:https://brainly.com/question/1245771
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