Question: [ Reorder Point for Variable Demand and Constant Lead Time ] [ 2 points ] Suppose that the average demand is 1 8 units per

[Reorder Point for Variable Demand and Constant Lead Time]
[2 points] Suppose that the average demand is 18 units per week with a standard deviation
of 5 units. The lead time is constant at 2 weeks. Determine the safety stock and reorder
point if management wants a 90 percent cycle-service level.
(Hint: choose a z score corresponding to a CSL that is the closest to 90%;
when safety stock is not an integer, think about whether the result should be rounded
up or rounded down. To be practical, both safety stock and reorder point need to be
integers.)

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