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Anvils Works' requires, on average, 2 , 7 0 0 tons of aluminum each week, with a standard deviation of 1 , 1 0 0
Anvils Works' requires, on average, tons of aluminum each week, with a standard deviation of tons The lead time to
receive its orders is weeks. The holding cost for one ton of aluminum for one week is $ It operates with a instock probability.
a On average, how many tons does it have on order?
Note: Round your answer to nearest integer.
Answer is complete and correct.
Tons
b On average, how mary tons does It have on hand?
Note: Round your answer to nearest integer.
Answer is complete and correct.
c If Its average inventory was tons, what would be its average holding cost per week?
Note: Round your answer to nearest integer.
Answer is complete and correct.
Average holding cost per week
d If its average inventory was tons, what would be its average holding cost per ton of aluminum?
Note: Round your answer to decimal places.
Answer is complete and correct.
Average holding cost per ton
e Suppose its onhand inventory is tons, on average. What instock probability does it orrer to its customers? Hint use the
NORM SDIST z Excel function.
Note: Do not found intermediate calculations or your value. Round your final answer to decimal places.
Answer is complete but not entirely correct.
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