Question

The Atlantic Paper Company produces paper from wood pulp ordered from a lumber products firm. The paper company’s daily demand for wood pulp is a constant 8,000 pounds. Lead time is normally distributed, with an average of 7 days and a standard deviation of 1.6 days. Determine the reorder point if the paper company wants to limit the probability of a stockout and work stoppage to 2%.



$1.99
Sales0
Views122
Comments0
  • CreatedJuly 17, 2014
  • Files Included
Post your question
5000