Question: Given the following information: Expected demand during a lead time = 560 kg Standard deviation of demand during a lead time = 50 kg Demand
Given the following information:
Expected demand during a lead time = 560 kg
Standard deviation of demand during a lead time = 50 kg
Demand during a lead time is distributed Normally Acceptable stockout risk during a lead time = 1 percent
Refer:z-valuestable.
a.What amount of safety stock is appropriate?(Round the final answer to the nearest whole number.)
Safety stockkg
b.At what level of inventory should this item be reordered?
ROPkg
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