These regional warehouses in turn re-supply the field warehouses assigned to them. There is one plant serving two regional warehouses which in turn serve three field warehouses each. The 7,500 cases are equal to a truckload shipment. In turn, the plant will re-supply regional warehouses in increments of 15,000 cases, which is a railcar shipment. The lead time for re-supply of field warehouses is one week.
Lead time is two weeks for re-supply of regional warehouses.
Production has a lead time of three weeks for materials in lots of 20,000 cases. No shipments are in the pipeline to field warehouses. However, a previously scheduled shipment of 15,000 cases is due to arrive at regional warehouse 2 in the second week. Assume that initial inventory at plant is 25,000 units.