At the Great Max Hotel, if 1 case of soap is used every 5 days and ordered every 30 days, what is the maximum quantity of soap that should be inventoried?

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To determine the maximum quantity of soap that should be inventoried at the Great Max Hotel, we first need to consider the usage and ordering schedule. The hotel goes through one case of soap every 5 days.

To find out how many cases are used in the 30-day ordering cycle, we divide the total days (30) by the usage rate (5 days per case). This calculation reveals that 6 cases are required over 30 days (30 days / 5 days per case = 6 cases).

Since the hotel orders soap every 30 days, the maximum quantity of soap that should be on hand at any time would need to cover the full 30-day period. Therefore, when the hotel places the order, it should have 6 cases available to ensure there is enough supply until the new order arrives.

However, to ensure ample stock and avoid running out while waiting for a new shipment, it is prudent to store additional cases beyond the base requirement. As a result, the total amount should incorporate any additional safety stock, leading to the conclusion that having up to 8 cases on hand allows for flexibility and guard against unexpected demand or delivery delays.

This thoughtful approach to inventory management strikes a balance between meeting the necessary supply needs and

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