Question: Given this information: Lead - time demand = 6 0 0 pounds Standard deviation of lead time demand = 5 2 pounds ( Assume normality.
Given this information:
Lead
time demand
pounds
Standard deviation of lead time demand
pounds
Assume normality.
Acceptable stockout risk during lead time
percent
Use Table.
a
What amount of safety stock is appropriate?
Round your answer to the nearest whole number.
b
How much of this item should be reordered?
Round your answer to the nearest whole number.
c
What risk of stockout would result from a decision not to have any safety stock?
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