Question: Answers are correct, would just like a step by step of how to solve! The demand for a medical equipment is uncertain and follows a

Answers are correct, would just like a step by step of how to solve!

The demand for a medical equipment is uncertain and follows a normal distribution. Its average daily demand is 41 units, with a daily standard deviation of 9 units. It costs $42 to place an order, and it takes 2 weeks to receive the order. The equipment requires a 95% service level, or a 95\% probability of not-stocking-out. What would be the safety stock level to satisfy the required 95% service level? Note that z= normsinv(0.95) =1.64 Numbers only, keep 3-decimal if not exact, either round up or down is ok

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!

Caribou Products, Inc., produces cornflakes and branflakes. The manufacturing process is highly mechanized; both products are produced by the same machinery by using different settings. For the...

Answers are correct, would just like a step by step of how to solve! A medical equipment has an average monthly demand is 115 units. Its unit cost is $327. It costs $322 to place an order, and the...

Answers are correct, would just like a step by step of how to solve! Ray wishes to determine the optimal order quantity for its best-selling bike in his bike store. Ray pays the supplier a wholesale...

Formularium Management III Kevin Denis June 18, 2014 Use at own risk. Part I Inventory Control 1 Known demand (p198) 1.1 Basic EOQ model (p210) Assumptions: 1. Demand is xed at units per unit time....

IOE 419 Mark S. Daskin Service Operations Management IOE Department Winter, 2017 University of Michigan Problem set 4 DUE: MONDAY - February 20, 2017 Points: 100 points total Problem 1: Babette has...

Supply Chain Management Introduction Outline What is supply chain management? Significance of supply chain management. Push vs. Pull processes utdallas.edu/~metin 1 A Generic Supply Chain Sources:...

Sustainability & Corporate Social Responsibility at GE \"GE should be commended for a bold approach to climate issues. However, the company has a long way to go before it can legitimately claim to be...

CHAPTER 9 Hypothesis Tests CONTENTS 9.4 POPULATION MEAN: UNKNOWN One-Tailed Test Two-Tailed Test Summary and Practical Advice 9.5 POPULATION PROPORTION Summary 9.6 HYPOTHESIS TESTING AND DECISION...

I have attached 2 business research. Write a 700- to 1,050-word paper in which you practice identifying the critical first stage of developing any research study: State the purpose of the business...

answer 3.1-3.4 MARKETING PLAN 1.1 Description of the Product The product is a Crutch with detachable umbrella holder. The product is made up of adjustable aluminum depending on the height bracket....

An Australian importer has declared to Australian Custom with the following information: F.O.B. price on the trade contract is $100,000.00; Shipping cost is $1,000; Insurance cost is $800; Import...

Draw a physical process model (just the processes and data stores) for the following CRUDmatrix: Register Schedule Create Create Student Studen Transcript Bill Student Student Data Store Course Data...

3. Return Calculations (LO1) Rework Problems 1 and 2 assuming the ending share price is $71.

What is an example of constructive feedback? provide reference