Orangetree Pharma's demand for test tubes is 72,000 units per year. If the lead time for placing an order is five (5) days, at what level of inventory should Orangetree place an order for raw materials? In your computations, assume a 360-day year.
A. 0 units.
B. 40 units.
C. 20 units.
D. 1,000 units.
E. 200 units.
Answer: D
Mathematics
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