Question
Tara McCoy is the office administrator for the Department of Management at State University. The faculty uses a lot of printer paper and Tara is
Tara McCoy is the office administrator for the Department of Management at State University. The faculty uses a lot of printer paper and Tara is constantly reordering and frequently runs out. She orders the paper from the university central stores and several faculty have determined that the lead time to receive an order is normally distributed, with a mean of 2 days and a standard deviation of 0.5 day. The faculty have also determined that daily demand for the paper is normally distributed, with a mean of 2.6 packages and a standard deviation of 0.8 packages. Compute the reorder point should Tara use in order not to run out 99% of the time.
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