Question: Given this information: Lead-time demand = 585 pounds Standard deviation of lead time demand = 42 pounds (Assume normality.) Acceptable stockout risk during lead time

Given this information: Lead-time demand = 585 pounds Standard deviation of lead time demand = 42 pounds (Assume normality.) Acceptable stockout risk during lead time = 3 percent Use Table. a. What amount of safety stock is appropriate? (Round your answer to the nearest whole number.) Safety stock units b. How much of this item should be reordered? (Round your answer to the nearest whole number.) ROP units c. What risk of stockout would result from a decision not to have any safety stock? (Omit the "%" sign in your response.) Stockout risk %

Step by Step Solution

There are 3 Steps involved in it

1 Expert Approved Answer

Step: 1 Unlock blur-text-image

Question Has Been Solved by an Expert!

Get step-by-step solutions from verified subject matter experts

Step: 2 Unlock

Step: 3 Unlock

Students Have Also Explored These Related General Management Questions!

Given this information: Lead-time demand = 500 pounds Standard deviation of lead time demand = 65 pounds (Assume normality.) Acceptable stockout risk during lead time = 3 percent Note for a 4%...

Given this information: tead-time demand $ =595 $ pounds Standard deviation of lead time demand $ =44 $ pounds (Assume normality.) Acceptable stockout risk during lead time $ =1 $ percent Use Ta

Given this information: Lead - time demand = 6 2 5 pounds Standard deviation of lead time demand = 5 0 pounds ( Assume normality. ) Acceptable stockout risk during lead time = 5 percent Use Table. a...

canvasberadu & Coats Hooded Jackets & Vesi Oymaart R O Fall 2020 Test & A mail-order house uses 15.750 boxes a year. Carrying costs are 45 cents per box a you and ordering costs are $92. The...

please label answers. thanks Given this information: Lead-time demand = 600 pounds Standard deviation of lead time demand = 45 pounds (Assume normality.) Acceptable stockout risk during lead time = 1...

Chapter 12 Problem 2 1 Problem 12-20 (Algo) 50 points Given this information: Lead-time demand = 610 pounds Standard deviation of lead time demand 50 pounds (Assume normality.) Acceptable stockout...

3 Given this information: Lead-time demand = 550 pounds Standard deviation of lead time demand = 35 pounds (Assume normality.) Acceptable stockout risk during lead time = 1 percent Use Table a. What...

Given this information: Lead-time demand = 625 pounds Standard deviation of lead time demand = 50 pounds (Assume normality.) Acceptable stockout risk during lead time = 5 percent Use Table. a. What...

Given this information: Lead-time demand = 620 pounds Standard deviation of lead time demand = 49 pounds (Assume normality.) Acceptable stockout risk during lead time = 5 percent Use Table. a. What...

Given this information: Lead-time demand = 620 pounds Standard deviation of lead time demand = 70 pounds (Assume normality.) Acceptable stockout risk during lead time = 4 percent Use Table. a. What...

How many atoms of oxygen are present in the reactants of this chemical equation? Mg(OH)2 + 2 HCI MgCl2 + 2 H20 O a) o O b) 1 c) 2 d) 3 O e) 4

Danielle's roommate Tasha asks her it she thinks the short story that Tasha has just written is any good. Danielle says that it is a wonderfully written story, which is a lie because she really...

The risk - free asset has a beta of 0 . 0 0 1 . 0 0 0 . 7 5 3 . 0 0

As the manager of Smith Construction, you need to make a decision on the number of homes to build in a new residential area where you are the only builder. Unfortunately, you must build the homes...