Question: . Average daily demand for a subcomponent during its lead time (Which is fixed at four days) is normally distributed with a mean of 15

. Average daily demand for a subcomponent during its lead time (Which is fixed at four days) is normally distributed with a mean of 15 units and a standard deviation of 2 units. Answer these questions, If the manager wants a service level of 97 percent during a lead time:

a. How many subcomponents of safety stock should be held?

b. What reorder point should be used?

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