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A conduit pipe company wants to implement a weekly review system for its products, considering that the best seller is t

Posted: Thu May 19, 2022 1:54 pm
by answerhappygod
A conduit pipe company wants to implement a weekly review system
for its products, considering that the best seller is the 1-inch
pipe.
This tube has a demand of 400,000 sections of 3 meters per year.
They know in advance that during Holy Week, Easter Week, Christmas
Week and New Year's Week they don't supply anything, and this
follows a normal distribution with a standard deviation of 3880
sections of 1” pipe. The supplier offers a delivery time of 9 days;
there is an order in transit for 40,000 sections and they currently
have a stock of 1,400 sections of tube.
What is the average inventory?
What is the safety inventory?
What is the maximum inventory?
What is the quantity to order?