Question: In a P system, the lead time for a box of weed-killer is three weeks and the review period is one week. Demand during the
In a P system, the lead time for a box of weed-killer is three weeks and the review period is one week. Demand during the protection interval averages 257 boxes, with a standard deviation of 50 boxes.
a. What is the cycle-service level when the target inventory is set at 300 boxes?
Refer to the standard normal table as needed.
The cycle-service level is _____ %.
(Enter your response rounded to two decimal places.)
b. In the fall season, demand for weed-killer decreases but also becomes more highly variable. Assume that during the fall season, demand during the protection interval is expected to decrease to 210 boxes, but with a standard deviation of 50 boxes. What would be the cycle-service level if management keeps the target inventory level set at 350 boxes?
Refer to the standard normal table as needed.
The cycle-service level would be ______%. (Enter your response rounded to two decimal places.)
Step by Step Solution
There are 3 Steps involved in it
Get step-by-step solutions from verified subject matter experts
