You want to have a 97% chance that you do not run out of inventory while you wait for an order to come in. Demand per day is 19 units per day, with a standard deviation of 3. The lead time is 4 days. What should your reorder point be? Round to the closest integer.

You want to have a 97% chance that you do not run out of inventory while you wait for an order to come in. Demand per day is 19 units per day, with a standard deviation of 3. The lead time is 4 days. What should your reorder point be? Round to the closest integer.

Practical Management Science

6th Edition

ISBN:9781337406659

Author:WINSTON, Wayne L.

Publisher:WINSTON, Wayne L.

Chapter2: Introduction To Spreadsheet Modeling

Section: Chapter Questions

Problem 20P: Julie James is opening a lemonade stand. She believes the fixed cost per week of running the stand...

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