18. Assuming that demand is normally distributed (mean of 250 units per period and a standard deviation
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18. Assuming that demand is normally distributed (mean of 250 units per period and a standard deviation of 75 units per period) and a lead time of 3 periods, what reorder point will guarantee that no more than 5 percent of order cycles will have one or more stockouts? (Choose the best answer.)
a. 900 units
b. 1,000 units
c. 1,100 units
d. 1,200 units
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Related Book For
Manufacturing Planning And Control For Supply Chain Management The CPIM Reference
ISBN: 9781265138516
3rd Edition
Authors: F. Robert Jacobs, William Lee Berry, D. Clay Whybark, Thomas E. Vollmann
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