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A distributor of computer monitors purchases the monitors from an overseas supplier under a continuous review system. The average demand for a popular computer monitor

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A distributor of computer monitors purchases the monitors from an overseas supplier under a continuous review system. The average demand for a popular computer monitor is normally distributed with a mean of 50 units a day and a standard deviation of 10 units a day. It costs $75 to process each order and there is a 16 -day lead time. The holding cost for each monitor is $20 per year and the distributor wishes to maintain a 90% service level. The distributor operates 300 days in a year. Question 7 (1 point) Use the information in Scenario 2. What is the reorder point R to satisfy a 90% cycleservice level? less than or equal to 750 units greater than 1,000 units but less than or equal to 1,250 units greater than 1,250 units greater than 750 units but less than or equal to 1,000 units Use the information in Scenario 2. What service level does a reorder point of 825 imply? greater than 80% greater than 75% but less than or equal to 80% less than or equal to 70% greater than 70% but less than or equal to 75% Question 9 (1 point) Use the information in Scenario 2. What is the annual cost of holding the safety stock necessary to maintain the 90% service level? less than or equal to $900 greater than $1,000 but less than $1,100 greater than $900 but less than $1,000 greater than $1,100 A distributor of computer monitors purchases the monitors from an overseas supplier under a continuous review system. The average demand for a popular computer monitor is normally distributed with a mean of 50 units a day and a standard deviation of 10 units a day. It costs $75 to process each order and there is a 16 -day lead time. The holding cost for each monitor is $20 per year and the distributor wishes to maintain a 90% service level. The distributor operates 300 days in a year. The distributor would like to use a periodic review inventory system to manage their inventory. What is the standard deviation of demand over the protection interval? greater than 50 units greater than 40 units but less than or equal to 50 units greater than 30 units but less than or equal to 40 units less than or equal to 30 units

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