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ABC Company manufactures widgets. The forecasted demand for the last 15 periods is shown along with the actual demand. Period Forecast Actual 1 44 52

  1. ABC Company manufactures widgets. The forecasted demand for the last 15 periods is shown along with the actual demand.

Period

Forecast

Actual

1

44

52

2

48

47

3

53

54

4

55

52

5

56

59

6

57

59

7

58

56

8

58

58

9

56

55

10

55

58

11

52

50

12

48

48

13

44

46

14

49

47

15

54

55

  1. How many widgets in excess of the forecast demand should the company have to be at 98% service level?
  2. How many widgets in excess of the forecast demand should the company have to have one stockout every 500 periods?

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