Question: Given this information: Expected demand during lead time = 3 3 0 units Standard deviation of lead time demand = 3 8 units Use Table.
Given this information:
Expected demand during lead time units
Standard deviation of lead time demand units
Use Table.
Determine each of the following, assuming that lead time demand is distributed normally:
a The ROP that will provide a risk of stockout of percent during lead time. Round your answer to the nearest whole number.
units
b The safety stock needed to attain a percent risk of stockout during lead time. Do not round Intermedlate calculatlons. Round
your answer to the nearest whole number.
c Would a stockout risk of percent require more or less safety stock than a percent risk?
More
Less
c Would the ROP be larger, smaller, or unaffected if the acceptable risk were percent instead of percent?
Unaffected
Smalier
Larger
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