A wholesaler has 8,450 units outstanding for Part X100 on existing customer’s orders; there are 3,925 units inventory and the calculated free inventory is 5,525 units. How many units does the wholesaler have on order with the supplier?
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If the free inventory is 5.525, then since they have 8,450 units still to be despatched they must be expecting a total of 13,975 to be available.
Of these 3,925 are already in inventory and so the difference must be the amount on order with the supplies.
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