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Concrete Supply Co. (CSC) operates 360 days per year and uses a P-model to make inventory decisions about a replacement part for a mixing machine.
Concrete Supply Co. (CSC) operates 360 days per year and uses a P-model to make inventory decisions about a replacement part for a mixing machine. Daily demand has been forecast to be 400 units and the standard deviation of daily demand is 200. The order interval is 12 days and the order lead time is 4 days. CSC desires to maintain a service level of 98% for this part. How much safety stock needs to be carried? (Round your answer to the nearest whole number.)
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