Question is complete please pass this to someone else if you can't answer it A distributor of large appliances needs to determine the order quantities and reorder points for the various products it carries The following data refer to a specific refrigerator in its product line Cost to place an order $ 110 Holding cost 20 percent of product cost per year Cost of refrigerator $ 500 each Annual demand 720 refrigerators Standard deviation during lead time 20 refrigerators Lead time 10 days Consider an even daily demand and a 365 day year a What is the economic order quantity (Round your answer to the nearest whole number ) Economic order quantity refrigerators b If the distributor wants a 90 percent service probability, what reorder point, R , should be used ( Use Excel's NORMSINV() function to find the correct critical value for the given level Do not round intermediate calculations Round z value to 2 decimal places and final answer to the nearest whole number ) Reorder point refrigerators

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Question: Question is complete; please pass this to someone else if you can't answer it. A distributor of large appliances needs to determine the order quantities

Question is complete; please pass this to someone else if you can't answer it.

A distributor of large appliances needs to determine the order quantities and reorder points for the various products it carries. The following data refer to a specific refrigerator in its product line:


Cost to place an order	$	110
Holding cost		20	percent of product cost per year
Cost of refrigerator	$	500	each
Annual demand		720	refrigerators
Standard deviation during lead time		20	refrigerators
Lead time		10	days

Consider an even daily demand and a 365-day year.

a. What is the economic order quantity? (Round your answer to the nearest whole number.)

Economic order quantity

refrigerators

b. If the distributor wants a 90 percent service probability, what reorder point, R, should be used? (Use Excel's NORMSINV() function to find the correct critical value for the given -level. Do not round intermediate calculations. Round "z" value to 2 decimal places and final answer to the nearest whole number.)

Reorder point

refrigerators

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