14. The weekly demand for an item is normally distributed with a mean (average) of 100 and a weekly standard deviation of 25. The lead time for replenishment for this item is 4 weeks. The company would like to maintain a 95% cycle service level for this item and monitors its inventory continuously. Which of the following is the Excel formula for calculating the safety stock for this item? a. =norm.s.inv(0.95)*25 b. =norm.s.inv(0.95)*sqrt(4)*25 c. =norm.dist(0.95,100,25,true) d. =norm.inv(0.95,100,25) 15. Which of the following statements defines the cycle service level? a. The percentage of all the demand that is met during the lead time b. The probability that all of the demand during the lead time is met c. The probability that the demand during the lead time is greater than the reorder point d. The order Quantity divided by 2 (Q/2). eorder Points, Safety Stocks, Service Levels Weekly demand for detergent at a Walmart store is normally distributed with a mean of 800 and a standard deviation of 215. The store manager continuously monitors detergent inventory and places a replenishment order for 5,000 units when there are 3,000 units in inventory. The supplier of the detergent takes 3 weeks to supply a Walmart order. 16. What is Walmart's safety stock for detergent with this policy? a. 215 b. 372 c. 600 d. 2000 e. 2500 17. What cycle service level does Walmart achieve with this policy? a. 0.054 b. 0.555 c. 0.946 d. 0.966 e. 1.000 18. If the Reorder point is set at 2,800, then what would be the probability of a stock out assuming everything else is as before? a. 0.1414 b. 0.8586 c. 0.9662 d. 0.0338