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The average demand for a product in a store is 3000 p/y and its standard deviation is 30 p/y (product/year) according to the annual normal
The average demand for a product in a store is 3000 p/y and its standard deviation is 30 p/y (product/year) according to the annual normal distribution. The products come from the supplier within an average order of 3 weeks and a standard deviation of 1 week. The cost of opening an order is 300 euro, the cost of holding one unit of product is 40 euro / p/y. Post procurement costs 40 euro I p. What is the safety stock quantity? A- r*= 208.43 safety stock = 75.25 B- r* = 158.5 safety stock =85.5 C- p*= 258.5 safety stock = 85.5 D- r* = 238.15 safety stock = 115.5 E- r* = 228.5 safety stock = 95.5 The average demand for a product in a store is 3000 p/y and its standard deviation is 30 p/y (product/year) according to the annual normal distribution. The products come from the supplier within an average order of 3 weeks and a standard deviation of 1 week. The cost of opening an order is 300 euro, the cost of holding one unit of product is 40 euro / p/y. Post procurement costs 40 euro I p. What is the safety stock quantity? A- r*= 208.43 safety stock = 75.25 B- r* = 158.5 safety stock =85.5 C- p*= 258.5 safety stock = 85.5 D- r* = 238.15 safety stock = 115.5 E- r* = 228.5 safety stock = 95.5
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