Question

A product's usage is normally distributed with a weekly average demand of 2,000 units and a weekly standard deviation of 125. The product's lead time is 4 weeks. Currently, the reorder point for this product is 8,200. If the company would like to have a service level of 95% for this product then: Group of answer choices

Answer 1

Answer:

Dependent demand items are typically products for use by the final customer. ... systems initiate a new order when the level of inventory falls to the reorder point. ... average demand of 2,000 units and a weekly standard deviation of 125. ... If the company would like to have a service level of 95% for this product then A)