Daily demand for a product is 120 units, with a standard deviation of 30 units. The review

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Daily demand for a product is 120 units, with a standard deviation of 30 units. The review period is 14 days and the lead time is 7 days. At the time of review, 130 units are in stock. If only a 1 percent risk of stocking out is acceptable, how many units should be ordered?

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Operations Management For Competitive Advantage

ISBN: 1572

11th Edition

Authors: Richard B. Chase, F. Robert Jacobs

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