Question: Consider a continuous review inventory system. Demand is normally distributed with an average of 28,000 per month and a monthly standard deviation of 4800 units.

Consider a continuous review inventory system. Demand is normally distributed with an average of 28,000 per month and a monthly standard deviation of 4800 units. Lead time is 6 weeks (assume four weeks per month) (round Z-values, standard deviations to two decimal places).

If the firm desires a(n) 85% cycle service level, it should hold _______ units of safety stock (round your response to the nearest integer).5

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