Question

If you have 100 units of a product and you need to maintain a maximum of 120 and a minimum of 40, how many units must be ordered to reach the maximum?

Accepted Answer

To reach the maximum level of 120 units when you currently hold 100 units, you must order 20 units. This calculation is performed by subtracting your current inventory, which is the total amount of product you have on hand, from your target maximum level. While the minimum level of 40 units represents your safety stock—the buffer kept to prevent running out of product if demand spikes—it does not change the amount needed to reach your maximum capacity. Think of this like a water tank: if the tank holds 120 gallons and already contains 100, you simply need 20 more to fill it to the brim, regardless of the minimum water level you are required to keep for emergencies.

If you have 100 units of a product and you need to maintain a maximum of 120 and a minimum of 40, how many units must be ordered to reach the maximum?

To reach the maximum level of 120 units when you currently hold 100 units, you must order 20 units. This calculation is performed by subtracting your current inventory, which is the total amount of pro....

Community Answers

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If you have 100 units of a product and you need to maintain a maximum of 120 and a minimum of 40, how many units must be ordered to reach the maximum?

To reach the maximum level of 120 units when you currently hold 100 units, you must order 20 units. This calculation is performed by subtracting your current inventory, which is the total amount of pro....

Community Answers