Now assume that the company's demand averages 100 units per month but is no longer constant. The monthly demand is norma
Posted: Fri May 20, 2022 8:04 am
Now assume that the company's demand averages 100 units per
month but is no longer constant. The monthly demand is normally
distributed with mean 100. The company has been using a
reorder point that provides a service level of 90%. Suppose
management wants to provide a better service level and is thinking
of doubling the amount of safety stock. What would be the
service level if the safety stock is doubled?
Group of answer choices
92.8%
99.9%
99.5%
98.1%
95.5%
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month but is no longer constant. The monthly demand is normally
distributed with mean 100. The company has been using a
reorder point that provides a service level of 90%. Suppose
management wants to provide a better service level and is thinking
of doubling the amount of safety stock. What would be the
service level if the safety stock is doubled?
Group of answer choices
92.8%
99.9%
99.5%
98.1%
95.5%
PreviousNext