Question: Buy More stocks color graphics monitors The daily demand is nor

Buy-More stocks color graphics monitors. The daily demand is normally distributed with a mean of 1.6 monitors and a standard deviation of 0.4 monitors. The lead time to receive an order from the manufacturer is a constant 15 days.
a. Determine the reorder point that will achieve a 98% service level. ( z value = 2.05).
b. What is the reorder point if the lead time is not consistent at 15 days, but has a standard deviation of 0.5 days?




Sale on SolutionInn
Sales1
Views284
Comments
  • CreatedAugust 05, 2013
  • Files Included
Post your question
5000