Question: While waiting for an order to arrive from its supplier (known as the lead time), the golf department manager at a local Dicks Sporting Goods

While waiting for an order to arrive from its supplier (known as the lead time), the golf department manager at a local Dick’s Sporting Goods store will sell an average of 60 boxes of Titleist golf balls. Assume the demand during the lead time for the balls follows a normal distribution with a standard deviation of 12 boxes. Determine the reorder point that will ensure the store a 95% probability that it will have enough inventory of golf balls until the next order arrives.

Step by Step Solution

3.41 Rating (170 Votes )

There are 3 Steps involved in it

1 Expert Approved Answer
Step: 1 Unlock

Find the closest value to 095 in the body of Table ... View full answer

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

Document Format (1 attachment)

Word file Icon

483-M-S-C-P-D (429).docx

120 KBs Word File

Students Have Also Explored These Related Statistics Questions!