Question
In a P system, the lead time for a box of weed-killer is two weeks and the review period is one week. Demand during the
In a P system, the lead time for a box of weed-killer is two weeks and the review period is one week. Demand during the protection interval averages 226 boxes, with a standard deviation of demand during the protection interval of 40 boxes.
a. What is the cycle-service level when the target inventory is set at 250 boxes? Refer to the standard normal table as needed. (ANSWERED)
The cycle-service level is
72.57%
b. In the fall season, demand for weed-killer decreases but also becomes more highly variable. Assume that during the fall season, demand during the protection interval is expected to decrease to 140 boxes, but with a standard deviation of demand during the protection interval of 60 boxes.
What would be the cycle-service level if management keeps the target inventory level set at 250 boxes? Refer to the standard normal table as needed.
The cycle-service level would be _ %? Enter your response rounded to two decimal places.)
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