Question: Q3. Average weekly demand is 400 units and weekly standard deviation is 312.5 units. Cost/ unit is Rs 4 and lead time is of 2

Q3. Average weekly demand is 400 units and weekly

Q3. Average weekly demand is 400 units and weekly standard deviation is 312.5 units. Cost/ unit is Rs 4 and lead time is of 2 weeks. If holding cost is Rs 0.1 per unit per week. Then for 95% service level, find: a) Level of safety stock b) Reorder point c) Annual cost of maintaining safety stock

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