Question $3$

Problem $805010$:

Do not include anything other than numbers in your responses. For example, do not include comma

or dollar sign in your numbers. As a rule of thumb, keep $2$ decimal places for larger numbers and $3$

decimal places for smaller numbers less than $1.$

Demand for walnut fudge ice cream at the Sweet Cream Dairy can be approximated by a normal

distribution with a mean of $110$ gallons per week and a standard deviation of $18$ gallons per week.

The new manager desires a service level of $80$ percent. Lead time is $4$ days, and the dairy is open

seven days a week $($Hint: work in terms of weeks$).$

What is the $Z$ value for the desired service level?

How many $($fraction of$)$ "weeks" is the lead time?

If we use a continuous inventory system, what safety stock level would be consistent with the desired

service level?

If we use a continuous inventory system, what ROP would be consistent with the desired service

level?