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15. For one of its major DIY products, Acme supplies a geographical Distributor who then supplies to the retail stores in that geography. The average

15. For one of its major DIY products, Acme supplies a geographical Distributor who then supplies to the retail stores in that geography. The average demand per week across all the retail stores supplied by the Distributor is 800, with a standard deviation of 90.

The Retail Stores get a standard delivery replenishment time of 3 weeks. In turn, Acmes replenishment time to the Distributor is 9 weeks.

All the three stages of the supply chain expect a 98% service level, given the high margin for this product line (The relevant z-scores from the z-table is given below).

Service Level % 90 91 92 93 94 95 96 97 98 99 99.9 Z 1.29 1.34 1.41 1.48 1.56 1.65 1.75 1.88 2.05 2.33 3.08

What is the Re-Order Point for the Retailer? Group of answer choices

a. 2095

b.2585

c. 2720

d. 2945

e. 3105

16. What is Re-Order Point for the Distributor?

Group of answer choices

a. 9240

b.10240

c.12160

d.12960

e.13420

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