Can any one help me with this costing question ?

Hai dear......

     Assume Emergency Stock as Danger Level --> Min Usage x Min lead time = 32000 uts ( Given )

                                                                              Min USage  x 4 weeks = 32000

                                                                     Therefore, Min Usage = 8000 uts 

it is given that 75% is added to Min usage, inorder to get Avg usage --> 8000 uts x 175% = 14000 uts.
Therefore, we can write , Avg Usage = (Min usage + Max Usage ) / 2

                   14000 uts = ( 8000 uts + Max usage ) / 2

                   28000 uts - 8000 uts = Max usage

     Therefore, Max usage = 20, 000 uts

 Now we have, Min usage = 8000 uts, MAx usage = 20,000 uts, Max Lead time = 8 weeks, Min lead time = 4 weeks, ROQ = 5000 uts;

Hence, we can calculate Various Stock Levels by using relevant formule.

 Hope  u understand......

  NnnNNNN

hey i have a doubt with he above explaination......

danger level is found out by multiplying the normal cosnumption level * maximum reoreder time in case of an emergency order.....

but in the wues or there is no way we find out the emergengy lead time....sooo how is the above explaination justified???