Question: The motel in the preceding example uses approximately 600 bars of soap each day, and this tends to be fairly constant. Lead time for soap
The motel in the preceding example uses approximately 600 bars of soap each day, and this tends to be fairly constant. Lead time for soap delivery is normally distributed with a mean of six days and a standard deviation of two days. A service level of 90 percent is desired.
The re-order point (ROP) is:
| 5,136 bars of soap | ||
| 4,850 bars of soap | ||
| 5,125 bars of soap | ||
| None of the above |
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