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ers f A wholesaler carries 6,000 different items in their store. In a normal week, demand occurs for 4,500 of these items. Of those
ers f A wholesaler carries 6,000 different items in their store. In a normal week, demand occurs for 4,500 of these items. Of those 4,500 items, 300 are not available for the entire week and another 210 items are available for only part of the week. What is the wholesaler's in-stock probability during a normal week? [2] An online retailer carries 2,500 different items in stock at their store. Last week, customers wished to purchase 1,250 of these items. Unfortunately, 50 items were unavailable for the entire week and the store ran out of inventory on another 120 items before a new shipment arrived at the end of the week. What was the store's stockout probability last week? [2] A fabricating shop orders supplies every week. The lead time for deliveries is 8 weeks. Demand for copper averages 48 pounds per day with a standard deviation of 2.7 pounds. The holding cost for copper is $0.80 per pound per day. The fabricating shop wants to achieve an in-stock probability rate of 97.73% for copper (z factor of 2). On average, how many pounds of copper will the fabricating shop have on order? [2] On average, how many units are on hand? [2]
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