Assume that the Best Buy store in Exercise 1 has a policy of ordering cell phones from
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Assume that the Best Buy store in Exercise 1 has a policy of ordering cell phones from Motorola in lots of 500.
Weekly demand for Motorola cell phones at the store is normally distributed, with a mean of 300 and a standard deviation of 200.
Motorola takes two weeks to supply an order. If the store manager is targeting a fill rate of 99 percent, what safety inventory should the store carry? What should its ROP be?
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