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Figure 1 Mrs. Brown's Bagel Company manufactures specialty bagels. The company buys flour in 50-pound...

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Accounting

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Figure 1 Mrs. Brown's Bagel Company manufactures specialty bagels. The company buys flour in 50-pound bags that cost GHS 25 each. The company uses 10,000 bags per year, and usage occu evenly throughout the year. The average cost to carry a 50-pound bag in inventory per year is GHS4, and the cost to place order is GHS1O. The company works 250 days per year. Refer to Figure 1. If Brown's lead time is four working days, the average rate of usage is 40 bag per day, and the company carries a safety stock of 20 bags, the reorder point would be a. 180 bags. b. 140 bags. c. 160 bags. d. 100 bags

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