Question: Assume an average rail transit time ( t ) from Kentucky to Butte, Montana, of 4 days and an average variance in transit ( lead

Assume an average rail transit time (t) from Kentucky to Butte, Montana, of 4 days and an average variance in transit (lead) time 1.5 days. Compute safety stock requirements (combined effects standard deviation for both demand and transit time (Stotal) for Golden Best inventories at the Butte, Montana, distribution center that will provide a stock protection level of 93.32 percent. Exhibit 2. The statistic table in the case provides the information needed. Given the daily demand of 510 cases, annual demand of 170,000 cases, Standard Deviation of Demand of 11.500 cases.
 Assume an average rail transit time (t) from Kentucky to Butte,

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