Question: xGiven this information: Lead - time demand = 6 2 0 pounds Standard deviation of lead time demand = 4 9 pounds ( Assume normality.
xGiven this information:
Leadtime demand pounds
Standard deviation of lead time demand pounds Assume normality.
Acceptable stockout risk during lead time percent
Use Table.
a What amount of safety stock is appropriate? Round your answer to the nearest whole number.
Safety stock
units
b How much of this item should be reordered? Round your answer to the nearest whole number.
ROP
units
c What risk of stockout would result from a decision not to have any safety stock? Omit the sign in your response.
Stockout risk
Step by Step Solution
There are 3 Steps involved in it
1 Expert Approved Answer
Step: 1 Unlock
Question Has Been Solved by an Expert!
Get step-by-step solutions from verified subject matter experts
Step: 2 Unlock
Step: 3 Unlock
