Question: A computer products store stocks color laser printers, and the daily demand is normally distributed with a mean of 8 . 2 printers. The lead

A computer products store stocks color laser printers, and the daily demand is normally distributed with a mean of 8.2 printers. The lead time to receive an order from the manufacturer is 14 days. The standard deviation of demand during this 14-day lead time is 15.8. Determine the reorder point that will achieve a 97.5% service level; that is, the store will have a 97.5% probability NOT running out of inventory. (Note: take z-score =+2 for 97.5% cumulative probability.)
Write an integer.

Step by Step Solution

There are 3 Steps involved in it

1 Expert Approved Answer
Step: 1 Unlock blur-text-image
Question Has Been Solved by an Expert!

Get step-by-step solutions from verified subject matter experts

Step: 2 Unlock
Step: 3 Unlock

Students Have Also Explored These Related General Management Questions!