Question: A single inventory is controlled by a continuous review ( R , Q ) policy. The lead time demand is normally distributed with mean 2
A single inventory is controlled by a continuous review RQ policy.
The lead time demand is normally distributed with mean and standard deviation
The average inventory position is
The service level S
a Calculate S
b Now instead the lead time demand follows an exponential distribution with mean Calculate S
c Assume again that the lead time demand follows an exponential distribution with mean
Determine the value of R if we want to attain the same level of S as in the original case
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