Question: please help me solve. really not sure how to answer this question D Question 27 4 pts Suppose Max found a better supplier, with the
please help me solve. really not sure how to answer this question
D Question 27 4 pts Suppose Max found a better supplier, with the same mean lead time as above i.e., 3 days, but no variance, i.e, zero standard deviation. Recall that Max has a warehouse that stocks flash drives. For the Stellar brand of flash drives, Max's forecast suggests a normally distributed daily demand, with a mean of 200 packs, and a standard deviation of 20 packs. Max has a continuous inventory monitoring system. Will Max get a reduction (if yes, how much reduction) in the standard deviation of lead-time demand by moving from Gina to the new upplier? Choose the closest answer. No reduction Reduction of 1 Reduction of 168 Reduction of 197
Step by Step Solution
There are 3 Steps involved in it
1 Expert Approved Answer
Step: 1 Unlock
Question Has Been Solved by an Expert!
Get step-by-step solutions from verified subject matter experts
Step: 2 Unlock
Step: 3 Unlock
