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Suppose Management Decides It Wants to Offer a 95% Service

Question 5

Multiple Choice

Suppose management decides it wants to offer a 95% service level.That is,Cooper Company is willing to experience a stock-out probability of 5% during the order cycle.How much safety stock should be carried?


A) 33 units
B) 35 units
C) 46 units
D) 25 units

Correct Answer:

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