Question: The Greyhound Company is considering changing its current inventory - control system for electronic picture frames. The information regarding one e - frame is given

The Greyhound Company is considering changing its current inventory-control system for electronic picture frames. The information regarding one e-frame is given
below:
Average demand =240 units/week
Lead time =5 weeks
Order cost =$65? order
Unit cost =$87
Carrying charge rate =0.060
Desired service level =85 percent
Standard deviation of weekly demand =49
Number of weeks per year =52
Use the FPS Safety Stock Excel template in MindTap to compute T and M for a fixed-period inventory system model with and without safety stock. Use the rounded
EOQ value in your calculations. Use Appendix A to determine z-value. Round z-value to two decimal places. Do not round intermediate calculations. Round your
answer for T up to the nearest whole number and round your answer for M to the nearest whole number.
T:
weeks
M:
 The Greyhound Company is considering changing its current inventory-control system for

Step by Step Solution

There are 3 Steps involved in it

1 Expert Approved Answer
Step: 1 Unlock blur-text-image
Question Has Been Solved by an Expert!

Get step-by-step solutions from verified subject matter experts

Step: 2 Unlock
Step: 3 Unlock

Students Have Also Explored These Related General Management Questions!