When should an order for peaches be placed if the average daily use is 2 cans, safety stock is 4 cans, and the lead time is 10 days?

To determine when the order for peaches should be placed, it's essential to calculate the total amount of peaches needed to cover both the average daily use and the safety stock during the lead time.

First, calculate the total usage during the lead time. Since the average daily use is 2 cans and the lead time is 10 days, the total expected use is:

2 cans/day × 10 days = 20 cans.

Next, add the safety stock, which is 4 cans, to this total use. This gives:

20 cans (usage during lead time) + 4 cans (safety stock) = 24 cans.

The correct timing for placing the order would ensure that by the time the inventory reaches this point, there will still be enough peaches to meet demand during the lead time plus safety stock, avoiding any potential shortages.

Thus, placing the order when there are 24 cans left aligns perfectly with ensuring that the supply meets both current demand and anticipated usage during the lead time. This calculated approach prevents running out of product before the new supply arrives.