Assuming that demand is normally distributed, with a mean of 100 units, standard deviation during the lead

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Assuming that demand is normally distributed, with a mean of 100 units, standard deviation during the lead time of 50 units, and a lead time of 2 periods, what reorder point will guarantee that no more than 10 percent of order cycles will have one or more stockouts?

a. 165 units

b. 265 units

c. 365 units

d. 465 units

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Related Book For  book-img-for-question

Manufacturing Planning And Control For Supply Chain Management

ISBN: 9780071750318,9780071750325

1st Edition

Authors: F. Robert Jacobs, William Lee Berry, D. Clay Whybark, Thomas E. Vollmann

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