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For managing inventories of fountain equipment, the company would like to use the Order-up-to approach at their DC. Weekly demand for fountain equipment at the
For managing inventories of fountain equipment, the company would like to use the Order-up-to approach at their DC. Weekly demand for fountain equipment at the DC is normally distributed with mean = = 100 units and standard deviation = = 35 units; supplier lead time = L = 3 weeks; "cost" of a backorder/week as $ 200 per unit; and cost to hold inventory/week is $ 300 per unit
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