Suppose that E(Z) (a.k.a the standardized loss function ) is 0.026 based on-demand distribution and service level. Given that the lead time demand is N(15, 10), calculate the safety stock (Normal Table is provided Normal Table ) O 6.2 O 15.6 O 28.2 O None of the above. F(Z) is the probability that a variable from a standard normal distribution will be less than or equal to Z, or alternately, the service level for a quantity ordered with a z-value of Z. L(Z) is the standard loss function, i.e. the expected number of lost sales as a fraction of the standard deviation. Hence, the lost sales = L(Z) X ODEMAND z 0.04 0.08 0.12 0.16 0.20 0.24 0.28 0.32 z -3.00 -2.96 -2.92 -2.88 -2.84 -2.80 -2.76 -2.72 -2.68 -2.64 -2.60 -2.56 -2.52 -2.48 -2.44 -2.40 -2.36 -2.32 -2.28 -2.24 -2.20 -2.16 -2.12 -2.08 -2.04 -2.00 -1.96 -1.92 -1.88 -1.84 -1.80 -1.76 -1.72 -1.68 -1.64 -1.60 -1.56 -1.52 FZ) 0.0013 0.0015 0.0018 0.0020 0.0023 0.0026 0.0029 0.0033 0.0037 0.0041 0.0047 0.0052 0.0059 0.0066 0.0073 0.0082 0.0091 0.0102 0.0113 0.0125 0.0139 0.0154 0.0170 0.0188 0.0207 0.0228 0.0250 0.0274 0.0301 0.0329 0.0359 0.0392 0.0427 0.0465 0.0505 0.0548 0.0594 0.0643 L(Z) 3.000 2.960 2.921 2.881 2.841 2.801 2.761 2.721 2.681 2.641 2.601 2.562 2.522 2.482 2.442 2.403 2.363 2.323 2.284 2.244 2.205 2.165 2.126 2.087 2.048 2.008 1.969 1.930 1.892 1.853 1.814 1.776 1.737 1.699 1.661 1.623 1.586 1.548 z -1.48 -1.44 -1.40 -1.36 -1.32 -1.28 -1.24 -1.20 -1.16 -1.12 -1.08 -1.04 -1.00 -0.96 -0.92 -0.88 -0.84 -0.80 -0.76 -0.72 -0.68 -0.64 -0.60 -0.56 -0.52 -0.48 -0.44 -0.40 -0.36 -0.32 -0.28 -0.24 -0.20 -0.16 -0.12 -0.08 -0.04 0.00 F(Z) 0.0694 0.0749 0.0808 0.0869 0.0934 0.1003 0.1075 0.1151 0.1230 0.1314 0.1401 0.1492 0.1587 0.1685 0.1788 0.1894 0.2005 0.2119 0.2236 0.2358 0.2483 0.2611 0.2743 0.2877 0.3015 0.3156 0.3300 0.3446 0.3594 0.3745 0.3897 0.4052 0.4207 0.4364 0.4522 0.4681 0.4840 0.5000 L(Z) 1.511 1.474 1.437 1.400 1.364 1.327 1.292 1.256 1.221 1.186 1.151 1.117 1.083 1.050 1.017 0.984 0.952 0.920 0.889 0.858 0.828 0.798 0.769 0.740 0.712 0.684 0.657 0.630 0.605 0.579 0.554 0.530 0.507 0.484 0.462 0.440 0.419 0.399 0.36 0.40 0.44 0.48 0.52 0.56 0.60 0.64 0.68 0.72 0.76 0.80 0.84 0.88 0.92 0.96 1.00 1.04 1.08 1.12 1.16 1.20 1.24 1.28 1.32 1.36 1.40 1.44 1.48 1.52 F(Z) 0.5160 0.5319 0.5478 0.5636 0.5793 0.5948 0.6103 0.6255 0.6406 0.6554 0.6700 0.6844 0.6985 0.7123 0.7257 0.7389 0.7517 0.7642 0.7764 0.7881 0.7995 0.8106 0.8212 0.8315 0.8413 0.8508 0.8599 0.8686 0.8770 0.8849 0.8925 0.8997 0.9066 0.9131 0.9192 0.9251 0.9306 0.9357 L(Z) 0.379 0.360 0.342 0.324 0.307 0.290 0.274 0.259 0.245 0.230 0.217 0.204 0.192 0.180 0.169 0.158 0.148 0.138 0.129 0.120 0.112 0.104 0.097 0.090 0.083 0.077 0.071 0.066 0.061 0.056 0.052 0.047 0.044 0.040 0.037 0.034 0.031 0.028 Z 1.56 1.60 1.64 1.68 1.72 1.76 1.80 1.84 1.88 1.92 1.96 2.00 2.04 2.08 2.12 2.16 2.20 2.24 2.28 2.32 2.36 2.40 2.44 2.48 2.52 2.56 2.60 2.64 2.68 2.72 2.76 2.80 2.84 2.88 2.92 2.96 3.00 F(Z) 0.9406 0.9452 0.9495 0.9535 0.9573 0.9608 0.9641 0.9671 0.9699 0.9726 0.9750 0.9772 0.9793 0.9812 0.9830 0.9846 0.9861 0.9875 0.9887 0.9898 0.9909 0.9918 0.9927 0.9934 0.9941 0.9948 0.9953 0.9959 0.9963 0.9967 0.9971 0.9974 0.9977 0.9980 0.9982 0.9985 0.9987 L(Z) 0.026 0.023 0.021 0.019 0.017 0.016 0.014 0.013 0.012 0.010 0.009 0.008 0.008 0.007 0.006 0.005 0.005 0.004 0.004 0.003 0.003 0.003 0.002 0.002 0.002 0.002 0.001 0.001 0.001 0.001 0.001 0.001 0.001 0.001 0.001 0.000 0.000