Jasmine Manages Inventory At The Charleston Distribution Center Over The Lead Time For Product Z Its Average Demand Is 1 (28.58 KiB) Viewed 40 times
Jasmine manages inventory at the Charleston distribution center. Over the lead time for Product Z, its average demand is 75 units (and is normally distributed), and its standard deviation is 7 units. Jasmine would like to maintain a 96% service level. Refer to the standard normal table for z-values. a) What safety stock level should Jasmine use for Product Z? Safety stock = units (round your final answer to the nearest whole number; round up if decimal portion is .5 or greater). b) What is the appropriate reorder point? Reorder Point = units (round your final answer to the nearest whole number; round up if decimal portion is .5 or greater).
Z 0.38 0.50 0.67 0.84 1.04 1.28 1.41 1.56 1.65 1.75 2.06 2.33 Pr(Z) 65 69 75 80 85 90 92 94 95 96 98 99
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