Question: Using a push inventory model, a factory makes 6,000 units of a product that is shipped to two different stores that are to have an

Using a push inventory model, a factory makes 6,000 units of a product that is shipped to two different stores that are to have an in-stock level of 97.5%. Inventory and demand are shown in the table below.

Store 1 Store 2
Units on hand 0 161
Average demand 2621 2952
Standard deviation of demand 102 155

1. How many units should be sent from the factory to Store 1 to meet an in-stock level of 97.5%?

- 3367 units

- 2821 units

- 3467 units

- 3597 units

- 2301 units

- 2621 units

- 3051 units

2. How many units should be sent from the factory to Store 2 to meet an in-stock level of 97.5%?

- 3395 units

- 2513 units

- 2694 units

- 2952 units

- 3256 units

- 3095 units

- 3508 units

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